Bitcoin fell to $73,000 and found support near its 200-day moving average, according to Altcoin Daily, as inflation and the prospect of higher Federal Reserve rates weighed on the market. Economist Ed Yardeni said a 50-basis-point rate hike in December was increasingly likely, while analyst Ben Cowen forecast Bitcoin would fall below $57,000 during President Donald Trump's term.
Why it matters
Yardeni argued that the Fed had been too incremental and pointed to a strong economy, a strong labor market and persistent inflation. His forecast is a prediction, not a Federal Reserve decision. Higher interest rates can tighten financial conditions and reduce liquidity available for risk assets, including Bitcoin.
Cowen's call gives a longer time frame for a potential drop below $57,000. Altcoin Daily also identified the 200-week moving average near $67,000 and a monthly moving average near $64,000 as potential areas of support if the $73,000 level fails.
Market impact
The $73,000 area is the immediate technical level cited in the discussion. A move below it would put the lower moving-average levels in focus, though those measures do not guarantee that selling will stop.
The video also cited a $930 million weekly increase in the circulating supply of onchain tokenized equities, taking the total above $4.7 billion. Separately, an Ava Labs executive discussed work with the New York Stock Exchange and Intercontinental Exchange on using Avalanche for a planned tokenized trading platform.
Frequently asked questions
-
Why does Ed Yardeni expect a larger Fed rate hike?
Yardeni cited persistent inflation, a strong economy and a strong labor market. He argued that the Fed had been too incremental in its approach.
-
Has the Federal Reserve decided on a 50-basis-point hike?
No decision is described in the discussion. Yardeni's view that a December hike is increasingly likely is a forecast.
-
Which Bitcoin levels were cited below $73,000?
Altcoin Daily cited the 200-week moving average near $67,000 and a monthly moving average near $64,000 as potential support if $73,000 fails.
-
What time frame did Ben Cowen give for his Bitcoin forecast?
Cowen said he expects Bitcoin to fall below $57,000 during President Donald Trump's term.
-
What did the video say about tokenized equities and Avalanche?
It cited a $930 million weekly increase in onchain tokenized equity supply to above $4.7 billion. An Ava Labs executive discussed Avalanche's role in a planned tokenized trading platform with NYSE and Intercontinental Exchange.
WatcherGuru
CoinTelegraph
TheBlock
CryptoSlate
Glassnode
CoinDesk