Analyst Cautions Bitcoin May Experience a Repeat of the Sell the News Scenario — Will Powell Disrupt the Trend This Time?

The price of Bitcoin is currently at $74,100, reflecting a 0.4% increase for the day as markets await the Fed’s announcement on Wednesday.

The Fed enters this meeting with oil prices exceeding $100 and escalating tensions in the Middle East adding complexity to the inflation scenario. A hold at 3.50 to 3.75% is already factored in. The remarks from Powell afterward will be crucial.

The recent rebound appears encouraging at first glance. Bitcoin has risen approximately $3,933 over the last six days. However, the trading volume supporting the rise above $74,000 is limited. Institutional interest is on hold until the FOMC statement is released.

Bitcoin is experiencing a breakout while the S&P 500 faces rejection at resistance. These two assets rarely move in opposite directions, making this divergence noteworthy.
BTC has surpassed the $73,000–$74,000 range highs and has regained the 50-day EMA for the… pic.twitter.com/lTgysjK641

— Jonatan Randin (@JonatanRLZ) March 17, 2026

Senior analyst at PrimeXBT, Jonatan Randin, pointed this out directly. A sell-the-news pattern has emerged following 7 of the last 8 Fed meetings. The conditions for another occurrence are present.

Bitcoin Price Prediction: Is Bitcoin Capable of Maintaining Momentum to $80,000?

Bitcoin is currently testing the resistance zone between $69,000 and $74,000. A definitive close above this range would confirm the rally. If it fails to maintain this level, the movement may increasingly resemble a bull trap.

Oil price fluctuations and the FOMC are currently driving market dynamics. On-chain indicators are taking a secondary role.

The critical level to watch is $70,000. Bulls must convert it from a resistance level to a support level. If Powell adopts a more flexible stance rather than a hawkish one, a relief rally towards $80,000 could materialize. Conversely, if the sell-the-news pattern recurs, $67,000 and the moving averages below may become the baseline scenario.

Source: BTCUSD / TradingView

Randin stated clearly that this rally does not exhibit the characteristics of a true risk-on signal. Investors are hedging rather than aggressively accumulating. The liquidity at these elevated levels is sparse.

The market requires a catalyst. Without a de-escalation in the Middle East or a dovish surprise from Powell, the potential for upside is limited, and the consolidation period may continue.

Post-FOMC volatility will provide traders with the direction they have been anticipating. Until then, there is little commitment from market participants.

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The post Bitcoin Price Prediction: Analyst Warns Bitcoin Could Repeat the Sell the News Trap — Will Powell Break the Pattern This Time? appeared first on Cryptonews.