After a solid pullback to around $ 116,000 yesterday, Bitcoin is once again trading at $118,200 today, signaling continued demand. Ethereum has also recovered all its losses and is now attempting to hold above $3,900.

Yesterday's Federal Reserve decision on interest rates was widely expected, unlike the hawkish tone of Fed Chair Jerome Powell, who reaffirmed his firm intention to continue fighting inflation. This negatively affected risk assets, including the cryptocurrency market.

The market's response to Powell's remarks was immediate and painful. Traders who had counted on a more dovish tone from the central bank began to sell off assets sensitive to interest rate changes. The drop in risk appetite triggered sell-offs across stock markets and exerted pressure on cryptocurrencies, which are traditionally viewed as high-risk assets.

Bitcoin, the flagship of the cryptocurrency market, posted a notable drop following Powell's press conference. Traders fear that further monetary tightening by the Fed could reduce market liquidity and worsen the investment climate for cryptocurrencies. However, despite the short-term negative reaction, long-term prospects for the crypto market remain a matter of debate. Supporters of digital assets argue that their decentralized nature and limited supply make them an attractive alternative to traditional finance amid rising inflation and economic uncertainty.

Given how quickly both Bitcoin and Ethereum were bought back, we can conclude that buyers and major players are active. However, for a new rally and the renewal of historical highs, the market needs to form a fresh technical base.

As for the intraday strategy on the crypto market, I will continue to act based on significant dips in Bitcoin and Ethereum, anticipating a continuation of the medium-term bull market, which remains intact.

Regarding short-term trading, the strategy and conditions are detailed below.

Bitcoin

Buy Scenario

Scenario #1: I plan to buy Bitcoin today upon reaching the entry point around $118,700, aiming for a rise toward $119,600. Around $119,600, I will exit long positions and open short positions on a rebound.

Important: Before buying on a breakout, make sure the 50-day moving average is below the current price and the Awesome Oscillator is in the positive zone.

Scenario #2: Bitcoin can also be bought from the lower boundary of $117,900 if there's no market reaction to its breakout, targeting a move back to $118,700 and $119,600.

Sell Scenario

Scenario #1: I plan to sell Bitcoin today at the entry point around $117,900, targeting a decline to $116,900. Around $116,900, I will exit short positions and buy on the rebound.

Important: Before selling on a breakout, make sure the 50-day moving average is above the current price and the Awesome Oscillator is in the negative zone.

Scenario #2: Bitcoin can also be sold from the upper boundary of $118,700 if there's no market reaction to its breakout, targeting a move back to $117,900 and $116,900.

Ethereum

Buy Scenario

Scenario #1: I plan to buy Ethereum today at the entry point around $3,881, aiming for a rise toward $3,950. Around $3,950, I will exit long positions and sell on the rebound.

Important: Before buying on a breakout, make sure the 50-day moving average is below the current price and the Awesome Oscillator is in the positive zone.

Scenario #2: Ethereum can also be bought from the lower boundary of $3,841 if there's no market reaction to its breakout, targeting a move back to $3,881 and $3,950.

Sell Scenario

Scenario #1: I plan to sell Ethereum today at the entry point around $3,841, targeting a decline to $3,775. Around $3,775, I will exit short positions and buy on the rebound.

Important: Before selling on a breakout, make sure the 50-day moving average is above the current price and the Awesome Oscillator is in the negative zone.

Scenario #2: Ethereum can also be sold from the upper boundary of $3,881 if there's no market reaction to its breakout, targeting a move back to $3,841 and $3,775.