Bitcoin price hits $39K as Powell stirs bets Fed rate hikes are over

Bitcoin reaches levels not seen since May 2022 amid an excited market reaction to the latest Fed inflation commentary.

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Bitcoin (BTC) hit $39,000 for the first time since mid-2022 on Dec. 1 as the United States Federal Reserve boosted hopes of policy easing.

Powell: Calling end to hikes would be “premature”

Data from Cointelegraph Markets Pro and TradingView confirmed a new 19-month BTC price high of $39,000 on Bitstamp.

Bitcoin bulls, already in a strong position, beat out resistance as Fed Chair Jerome Powell took to the stage at Spelman College in Atlanta, Georgia for a scheduled appearance.

“The FOMC is strongly committed to bringing inflation down to 2% over time and to keeping policy restrictive until we’re confident that inflation is on a path to that objective,” he said in prepared remarks.

Keith Alan, co-founder of trading resource Material Indicators, meanwhile, uploaded a snapshot of BTC/USDT order book liquidity to X following Powell’s speech.

This showed $39,000 and $39,200 remaining as significant resistance overhead, while the nearest substantial buyer support lay at $38,000.

“I strongly believe that today we will finally close above $38K. A daily close above $38K is a powerful signal of a god candle,” fellow popular trader BitQuant forecast earlier on the day.

Daan Crypto Trades added that Bitcoin seemed to be “leaving its previous trading range for the time being,” while Crypto Ed, founder of trading and training group CryptoTA, predicted upside taking Bitcoin to “at least” $39,200 next.

This article does not contain investment advice or recommendations. Every investment and trading move involves risk, and readers should conduct their own research when making a decision.