Bitcoin price has remained in a narrow range this week as traders watched the new developments in the Middle East. BTC was trading at $76,000 as traders focused on the upcoming Kevin Warsh testimony. It has formed an ascending triangle, pointing to more gains in the near term.
Bitcoin price steady ahead of Kevin Warsh testimony
Kevin Warsh, Donald Trump’s nominee to become the next Federal Reserve Chairman, will be grilled in the Senate Banking Committee on Tuesday.
This is an important grilling that will provide more information about his tenure as the Federal Reserve Chairman.
There will be two important things to watch in this grilling: his thoughts on interest rates and his views on cryptocurrencies. His views on interest rates are important because of the ongoing pressure from President Donald Trump.
Trump has criticized Jerome Powell for not cutting interest rates fast enough, with Jeanine Pirro filing a lawsuit against him. As such, Senators will want to know whether he will be open to cutting rates this year.
The other key catalyst will be his views on Bitcoin and the crypto market. Warsh has made several statements about the industry in the past few years. In a WSJ editorial a few years ago, he was highly critical about the industry.
Recently, however, he has maintained a bullish outlook about Bitcoin and the crypto market. He changed his views recently when Trump became president, which raised his chances of becoming the Federal Chair.
A bullish statement about Bitcoin and other coins would be highly bullish for the coin. Still, it is worth noting that the Federal Reserve is not involved in the crypto market. Instead, the regulations are usually handled by the Securities and Exchange Commission (SEC) and CFTC.
BTC ETF inflows are continuing
Data shows that investors are piling into spot Bitcoin ETFs this month, a sign that demand is resilient. Spot Bitcoin ETFs have added over $1.6 billion this month, bringing the cumulative net inflows to $57 billion. These funds now hold over $100 billion in assets, with the biggest ones being by BlackRock, Fidelity, and Grayscale.
One reason for the rising inflows is that American investors believe that Bitcoin is a bargain after falling by double-digits from the all-time high.
At the same time, there are signs that investors are rotating from gold ETFs to Bitcoin. This is notable because the opposite was happening a few weeks ago.
BTC price technical analysis
Bitcoin price chart | Source: TradingView
The daily chart shows that the BTC price has continued rising in the past few months. It has moved to the 23.6% Fibonacci Retracement level.
The coin has flipped the red Supertrend indicator from red to green, a move that will lead to more gains. It has also formed an ascending triangle pattern, while the Relative Strength Index (RSI) has continued rising.
Therefore, the most likely Bitcoin price prediction is bullish, with the next key target to watch being the 50% retracement level at $93,300. This target is about 23% above the current level.
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