Bitcoin Bulls: Get Ready for a $94K Breakout Before the Crucial FOMC Rate Cut Decision

Hey there, crypto enthusiasts! Exciting times are ahead as we dive into the Bitcoin market's roller coaster ride. Last week saw bears pushing the price down to $84,000, only to be met by bullish momentum driving it up to $94,000. After a slight dip below $88,000, a rally closed the week at $90,429. Now, all eyes are on the FOMC meeting this week, anticipating a rate cut that could impact Bitcoin's investment landscape positively. The key target for the bulls? Surpassing $94,000 and gaining market favor. Let's break down what lies ahead.

Bitcoin's Current Support and Resistance Levels

Market Indecision:

Last week ended with a doji candle, signaling a tug-of-war between buyers and sellers. The bulls aim to establish $94,000 as a solid support level, eyeing $101,000 next. Sellers might slow momentum post $96,000, with tougher resistance at $100,000 and above. On the flip side, support at $87,200 is crucial to avoid retesting $84,000. Below that, $72,000 to $68,000 forms a critical support zone. Dropping further could see stabilization near the 0.618 Fibonacci retracement at $57,700.

What to Expect This Week

Short-Term Outlook:

The bulls hold the reins this week with positive RSI progress on the daily chart. Sustaining above the 13 SMA support is key, aiming to push RSI above 60 into bullish territory. As we head towards the FOMC meeting, maintaining support levels is pivotal for seizing higher ground post-rate cut speculation. Brace yourself for market shifts depending on the FOMC outcome.

Market Sentiment:

The bearish tone lingers, despite recent minor rallies favoring the bulls. The monthly MACD oscillator's bearish cross casts a shadow over December and possibly January. Bitcoin's price struggle involves climbing above the 100-week SMA at $84,700. While bullish momentum may persist, heavy resistance looms above $110,000, likely triggering a pullback on the weekly chart. Bears might gain confidence with a solid lower high formation, signaling a potential longer-term reversal.

Unlocking the Crypto Lingo:

Let's decode some key terms to navigate the crypto-speak:

Bulls/Bullish: Those betting on price hikes.
Bears/Bearish: Those expecting price drops.
Support/Resistance Levels: Price thresholds indicating where assets may hold or face rejection.
SMA (Simple Moving Average): Average price over a specific period.
Fibonacci Retracements and Extensions: Ratios based on natural growth cycles.
Oscillators: Indicators fluctuating within set levels.
RSI Oscillator: Measures price momentum and overbought/oversold conditions.
MACD Oscillator: Indicates trend and momentum based on moving averages.

Exciting times are ahead in the crypto sphere, so buckle up for potential market twists and turns. Stay informed, stay sharp, and let's navigate this Bitcoin journey together!

Frequently Asked Questions

What are the best ways to choose an IRA.

The first step to finding an IRA for you is understanding your account type. This includes whether your goal is to open a Roth IRA (or a traditional IRA). It is also important to determine how much money you have to invest.

Next is deciding which provider best suits your needs. Some providers offer both, while others can only provide one type of account.

Consider the fees that come with each option. Fees may vary from one provider to another and could include annual maintenance fees as well. One example is that some providers charge a monthly subscription based upon the number of shares you hold. Others only charge once per quarter.

Should you open a Precious Metal IRA

This will depend on whether or not you have an investment objective and what level of risk you are willing to accept.

An account should be opened if you are planning to use the money in retirement.

The reason is that precious metals are likely to appreciate over time. They also offer diversification benefits.

Additionally, silver and Gold prices tends to move together. They make a good choice for both assets and are a better investment.

You should not invest in precious-metal IRAs if it is not your intention to use your money for retirement, or if you are unwilling to take any risks.

What is the best way to make money with a gold IRA?

Yes, but not as often as you think. It all depends upon how much risk you are willing and able to take. If you can afford to invest $10,000 every year for 20-years, you could possibly have $1,000,000 by retirement age. But if you put all your eggs in one basket, you'll lose everything.

Diversifying your investments is essential. Gold does well when there is inflation. You want to make investments in an asset class that rises with inflation. Stocks excel at this because they rise with increased profits. This is also true for bonds. They pay interest each year. They are great in times of economic growth.

But what happens if there's no inflation? When there is no inflation, stocks and bonds will lose even more value. This is why investors should avoid putting all their savings into one investment, such as a bond or stock mutual fund.

Instead, they should consider investing in a mixture of different types and funds. They could invest in stocks or bonds. Or, they could invest in both bonds and cash.

So they can see both sides of each coin. Inflation and depression. They will still see a return in time.

Can I put gold in my IRA?

The answer is yes You can add gold to your retirement plan. Because it doesn’t lose value over the years, gold makes a good investment. It also protects against inflation. And you don't have to pay taxes on it either.

Before you invest in gold, make sure to understand its differences from other investments. Unlike stocks or bonds, you can't buy shares of gold companies. These shares can also be not sold.

Instead, convert your gold to money. This means that you'll have to get rid of it. You cannot just keep it.

This makes gold different from other investments. With other investments, you can always sell them later. This is not true for gold.

The worst part is that you cannot use your gold to secure loans. For example, if a mortgage is taken out, you may have to sell some of your gold in order for the loan to be paid.

What does this translate to? You can't just keep your gold forever. It will eventually have to be converted into cash.

But there's no reason to worry about that now. All you have to do is open an IRA account. You can then invest in gold.

Are precious metals allowed in an IRA?

The answer to that question will depend on whether the IRA owner plans to diversify his holdings to gold and/or keep them safekeeping.

He has two options if he wishes to diversify. He could either buy bars of physical gold and/or sterling from a dealer or simply sell these items back at the end. Imagine he doesn't desire to sell off his precious metals investments. In that case, he should continue holding onto them as they would be perfectly suitable for storing within an IRA account.

Statistics

Same tax rules as traditional IRA SEP IRA contributions in 2022 are limited to 25% of compensation or $66,000, whichever is less Before setting up a Silver IRA, understand the fees and IRS restrictions. (sltrib.com)
Depending on your financial situation, most experts recommend you invest no more than 5% to 10% of your retirement funds in precious metals. (forbes.com)
To qualify as IRA allowable precious metals and be accepted by STRATA, the following minimum fineness requirements must be met: Gold must be 99.5% pure, silver must be 99.9% pure, and platinum and palladium must both be 99.95% pure. (stratatrust.com)
Silver must be 99.9% pure • (forbes.com)

External Links

How To

How to Open a Precious Metal IRA

Precious metals are a highly sought-after investment vehicle. They offer investors higher returns than traditional investments, such as bonds and stocks. This is why they are so popular. But, it is important to do your research and plan carefully before investing in precious metals. If you want to open your own precious metal IRA account, here's what you should know first.

There are two main types in precious metal accounts. These are physical precious metals and paper gold or silver certificates (GSCs). Each type has its advantages and disadvantages. GSCs offer easy access and trade, while physical precious metals accounts provide diversification benefits. You can read more about them below.

Physical precious metals accounts are comprised of bullion and bars as well as coins. This option is great for diversification, but it has its drawbacks. Precious metals can be expensive to store, buy and sell. Moreover, their large size can be difficult to transport them from one location to another.

Paper gold and silver certificates, on the other hand are very affordable. These certificates can also be traded online, and they are easy to access. This makes them ideal for people who don't want to invest in precious physical metals. But they don't offer as much diversification as their physical counterparts. These assets are also supported by government agencies, such as the U.S. Mint. Inflation rates could cause their value to drop.

Make sure you choose the right account to suit your financial situation when opening a precious Metal IRA. Consider the following:

Your tolerance level
Your preferred asset allocation strategy
What time do you have available to invest?
No matter if you intend to use the funds in short-term trading.
What type of tax treatment do YOU prefer?
Which precious metal(s), you would like to invest in
How liquid do you need your portfolio to be
Your retirement date
Where you will store precious metals
Your income level
Current savings rate
Your future goals
Your net worth
Special circumstances that may influence your decision
Your overall financial picture
Your preference between physical or paper assets
Your willingness and ability to take risks
Your ability to deal with losses
Your budget constraints
Your desire to become financially independent
Your investment experience
Your familiarity in precious metals
Your knowledge of precious Metals
Your confidence in the economy
Your personal preferences

After you have determined the type of precious metal IRA that best suits you, you can open an account with a reputable dealer. These companies can be found through word of mouth, referrals and online research.

Once your precious metal IRA has been opened, you'll need decide how much money you wish to invest. Each precious metal IRA account requires a minimum initial deposit. Some accounts will only accept $100, others will allow for you to invest as high as $50,000.

You can invest as much or as little money in your precious metal IRA as you like. A larger initial deposit is better if you are looking to build wealth over a longer period of time. On the other hand, if you're planning on investing smaller sums of money every month, a lower initial deposit might work better for you.

As far as the actual precious metals used in your IRA go, you can purchase any number of different types of investments. The most common include:

Gold – Bullion bars, rounds, and coins
Silver – Rounds, and coins
Platinum – Coins
Palladium – Bar and round forms
Mercury – Round and bar forms

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By: Ethan Greene – Feral Analysis and Juan Galt
Title: Bitcoin Bulls: Get Ready for a $94K Breakout Before the Crucial FOMC Rate Cut Decision
Sourced From: bitcoinmagazine.com/markets/bitcoin-bulls-eye-94k-breakout-ahead-of-crucial-fomc-rate-cut-decision
Published Date: Mon, 08 Dec 2025 17:38:07 +0000