Bitcoin at a Crossroads: Will BOJ’s Rate Hike Threaten the 50-Day Moving Average?

Bitcoin's price teeters on the edge as the Bank of Japan shakes markets with hawkish signals. Will the 50-DMA hold—or crumble under macro pressure?

The BOJ's Surprise Move

Japan's central bank just fired the starting gun on rate hikes, sending shockwaves through risk assets. Bitcoin—the ultimate macro rebel—now faces its first real test since the 2024 halving.

Technical Tightrope

The 50-day moving average isn't just a line on a chart. It's the psychological battleground where short-term traders and long-term hodlers clash. A close below could trigger algorithmic sell-offs—because nothing says 'free market' like bots trading against each other.

Crypto vs. Traditional Finance

While TradFi panics over basis points, Bitcoin's real story plays out in on-chain data and mining reserves. The network's fundamentals haven't changed—only the narrative. (But hey, since when did finance let facts get in the way of a good story?)

Watch this space. The next 48 hours will separate the diamond hands from the paper-handed tourists.

If the price closes below the 50-DMA today, a negative sentiment in the broader crypto market could build up. It is supported by a massive 28% decline in trading volume over the last 24 hours. BTC price will likely fall to the next support at $103.1K, the 28.6% Fibonacci retracement level.

However, the price could continue to move sideways if institutional investors continue buying Bitcoin ETFs and companies add BTC to their treasuries.

According to CoinGlass data, derivatives trading remained mixed in the last 24 hours. The total BTC futures open interest dropped 0.70% over the last 24 hours, but jumped 0.15% in the past hour.

Also Read: Micro bitcoin Purchases Trend Worldwide: US, UK, and Japanese Firms Join