Bitcoin (BTC) could see its last dip as buyers line up to take advantage of the US Federal Reserve’s meeting on Wednesday.

On December 14, prices on the major Bitfinex exchange started to rise, a clear sign that the market believes that BTC/USD is doomed to win.

Time to “sell rumors, buy news?”
The Fed will provide key information on future asset purchases – a form of quantitative easing – as well as inflation at the meeting, and bets are growing on the implications for both cryptocurrency and traditional markets.

Data from the Bitfinex order book indicates that Bitcoin traders are looking to “buy the news.”

As Cointelegraph reported, the Fed’s cuts to its asset purchases are effectively limiting the availability of “normal” funds, and accelerating the process could drive riskier assets like bitcoin to dampen policy returns.

However, in the short term, the acquisition will reflect the events surrounding the printing of inflation data for the past month, and this will provide a noticeable but short-term boost to BTC.

On Tuesday, Bitfinex traders traded in a range of $44,500 to $46,000 with a spot price of $46,800 after a day of losses.

“I think the FOMC has a good chance of becoming (sell the rumor, buy the news),” added analyst William Clemente.

“Combine that with illiquid bets at yearly highs and some big Bitfinex bets. Just wait for $53,000 to start trading. Glad to skip some moves and pay for confirmation already.”
Bitcoin traders are not obedient at all
Elsewhere in stock market order books, there is evidence of growing falling whales.

Related Topic: “Brutal Bull Movement” Means Whales Could Provide Next Bitcoin Price Rally

Mass retailers have been selling consistently since October, notes Materials Scientist, creator of chain analysis resource, Materials Indicators.

Material Scientist commented on Twitter: “They haven’t bought a single dive since October, and they’ve been selling TWAP direct this whole time.”

Few exceptions made headlines, and whales – the largest group of prey – showed a buying interest. However, according to the data, the $60K resistance continues to rise over time.

“We have not yet seen a single drop in BTC in the last month that has been bought with real confidence,” Material Indicators added in a separate post.

Source: CoinTelegraph

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