Bitcoin (BTC) price dips below $95,000 after surging to $97,000 ahead of the FOMC meeting

Cryptocurrencies witnessed a mixed market performance on Monday, with Bitcoin showing signs of recovery after a weekend setback.

Bitcoin price dropped by nearly two percent to trade at $94,407 on international exchanges. In India, the cryptocurrency’s value decreased by 2.25 percent, settling at around $94,413.

This cautious sentiment in the market can be attributed to the upcoming US Federal Open Market Committee (FOMC) meeting, which has investors on edge.

Bitcoin price today

Bitcoin price is currently trading at $94,400 as investors remain cautiously optimistic ahead of the FOMC meeting scheduled for later this week.

According to Alankar Saxena, Co-founder and CTO of Mudrex, Bitcoin is facing resistance near its previous high of $97,900, while a significant support level is identified at $92,000.

In another development, Bitcoin witnessed its highest number of active addresses in six months, with over 925,000 addresses becoming active in a single day. This surge in participation signifies a vivid interest among investors and overall market engagement.

In parallel, Ether also saw a decline, with its price dropping by 1.77 percent on global exchanges, now trading at $1,806. On Indian exchanges, Ether’s value fell by 3.81 percent, reaching $1,809.

Avinash Shekhar, Co-founder and CEO of Pi42, observed that investors are currently seeking stability amid the market volatility. He anticipates the market to remain range-bound in the short term, with any breakouts being determined by macroeconomic sentiment and institutional investment flows.

Most altcoins dipped

The broader cryptocurrency market displayed a downward trend, with most altcoins experiencing price drops on Monday.

Among the top altcoins, Ripple, Solana, Avalanche, Stellar, and Shiba Inu all saw declines. Monero, Cronos, EOS Coin, and Elrond were also trading at lower values.

In the last 24 hours, the cryptocurrency market dipped by 1.50 percent, bringing its total valuation to approximately $2.94 trillion.

CoinDCX’s research team highlighted that Bitcoin’s price continues to decline after closing the previous week on a bearish note. Many altcoins are facing upward pressure, suggesting a potential retracement phase in the crypto market. The top ten tokens are closely following Bitcoin’s trajectory, highlighting the interconnected nature of cryptocurrency prices.

Despite the current slowdown, some altcoins, including Tron, Leo, Iota, and Polygon, remained unaffected and even saw price increases on Monday.

CoinSwitch Markets Desk expressed an optimistic market sentiment, citing potential US-China trade negotiations and a positive trend in traditional markets, with the S&P 500 and Nasdaq composite both closing the week with gains of approximately 1.5 percent. However, industry analysts advise caution among investors.

Himanshu Maradiya, Founder and Chairman of CIFDAQ exchange, mentioned that institutional interest in cryptocurrencies is growing rapidly, as traditional finance institutions are exploring tokenized assets and blockchain-based fund structures.

While there is optimism in the crypto market, traders are advised to exercise caution, particularly near psychological price levels like $100,000, where price volatility tends to escalate. Overall, the market tone appears constructive, with broad-based support across various sectors.

Cryptocurrency is an unregulated digital currency and is not considered legal tender, making it subject to market risks. The information provided in this article does not constitute financial or trading advice, and NDTV will not be responsible for any investment losses based on the information contained herein.