Bitcoin Calls Traders Scam With New $40K Fake As Fed Decision Date

Bitcoin (BTC) traders tested again on March 16 when the spike of over $40,000 just ended in minutes.

BTC/USD 1-hour candlestick chart (Bitstamp). Source: TradingView

Shorts feel burning after sudden trip down to $41,700

Data from Cointelegraph Markets Pro and TradingView shows BTC/USD abruptly rising to highs of $41,700 on Bitstamp – before reversing immediately.

Two hourly candles were all that was needed for the entire market to rally $2,000, break key resistance levels, and head back down again.

The move, while popular latelynot without casualties, as evidenced by liquidation transactions on exchanges.

According to data from on-chain monitoring source Coinglass, Bitcoin accounted for $98 million of this in the 24 hours to press time. The total amount of crypto liquidations during this period was just over $200 million.

Cryptocurrency liquidation chart. Source: Coinglass

While remaining in the middle of its established trading range, BTC/USD broke through resistance at both $40,000 and $41,000 before the coin strengthened as the pair decelerated.

As of Wednesday, $41,000 remains due to selling pressure, but a large number of sellers have yet to reappear at $40,000, data from Binance’s order book compiled by resource monitor Material Indicators shows.

BTC/USD (Binance) order book chart. Source: Material Index

The “snooze party” until the Fed announces a rate hike?

Meanwhile, for analysts, the immediate past is less meaningful than what the immediate future may bring on Wednesday.

Related: Bitcoin at risk of finally being ‘bear market investing’ as rich investors continue to sell off BTC – analyst

At 2 p.m. Eastern Time, the US Federal Reserve is poised to reveal moves in interest rates, which many have been eyeing as a potential price pattern shift.

For renowned trader and analyst Crypto Ed, there’s nothing to watch until the news comes out.

Meanwhile, Twitter account PlanC argues that the market has already factored in an expected 0.25% rate hike, but this won’t help macro-inflationary forces – which themselves claim that BTC is advertising as a store of value.

“The Fed will raise interest rates by 25 basis points, which are already priced in and will do nothing to contain inflation,” the account said. summary.

BTC/USD is trading at around $39,500 at press time, still higher Tuesday’s Level.