After weeks of consolidation, bitcoin has started the second half of September in relatively bullish fashion. Prices have once again surged above the $27,000 level, which comes as traders attention turns to the upcoming Federal Reserve meeting. Prior to this, we explore how the price of bitcoin may move for the remainder of the month.
Current Market Status
The first fortnight of September has been largely non-eventful, with bitcoin mostly consolidating below $26,500.
This comes as volatility in the market hovered close to a five-year low in August, with trading volume amongst exchanges falling by $52 billion.
However, as we move into the fall, there has been a slight rise in volatility, mostly led by a rise in both inflation and retail sales in the United States.
Markets have used this as confirmation that the Federal Reserve will hike rates later this week, which could lead to dollar strength.
Bitcoin peaked at $27,414.73 earlier in today’s session, following a low of $24,900 exactly a week ago.
This has seen BTC/USD reach its highest level since August 31, 2023, and comes as the 10-day (red) and 25-day (blue) moving averages near an upward cross.
From the chart, the potential for this move has been on the cards for a while, however, it has finally taken place as volatility returned to the market.
Additionally, the relative strength index has now also moved past a key point of resistance at 53.00, which has been a thorn in the sight of bulls for the past few weeks.
The next real ceiling lies at 65.00, and should bulls be targeting this, there is a chance bitcoin (BTC) ends the month above $28,300.
Where will bitcoin end the month? Let us know your thoughts in the comments.