$BTC price prediction – How high can the U.S.-Iran peace deal push it?

#BITCOIN 💹

After a brief pullback, the U.S. stock market climbed towards all-time highs on optimism about peace talks. Meanwhile, Bitcoin bulls were fighting an uphill battle.

The two-day meeting of the U.S. Federal Reserve’s open market committee (FOMC) will conclude on the 17th of June. The Fed’s new chair, Kevin Warsh, will make the rate-related decision on the same day.

The FedWatch Tool showed that the market has all but decided that the Fed would hold the interest rate steady at 3.50%-3.75%. Some short-term Bitcoin [BTC] price volatility around the hours of the announcement is still possible.

The optimism around the U.S.-Iran peace deal helped fuel the recent move to the $65k level. This recovery was on thin ice because of declining spot volumes that indicated limited market conviction.

Bitcoin price prediction: More losses to come?

The on-chain data shows miners and holders facing heavy losses, and the capitulation has not yet ended. From a price action perspective, the trend remained bearish from the weekly down to the 4-hour timeframes.

The swing structure on the 4-hour chart was bearish. The recent U.S.-Iran peace talks saw a BTC bounce that reached just beyond the 50% retracement level at $66.8k.

However, the rejection in recent days could see a drop below the $64k support zone (cyan). This scenario would increase the chances of a drop below the $59.1k level.

Summary

Though the stock markets were roaring higher, the recent uptick came as peace talk optimism grew.

Bitcoin was unable to move to the $70k resistance. Another sell-off is possible, and a drop below $64k would signal the continuation of the downtrend.