Potential headwinds are piling up for risk assets as bitcoin puts FOMC volatility in its wake.

Bitcoin
BTC of the

Ticker below
$20,652

It was lower on Nov. 3 as the impact of the Federal Reserve’s interest rate hike waned.

BTC/USD 1 Hour Candlestick Chart (Bitstamp). Source: TradingView
Trading different forms with $20,000 facility
Data from Cointelegraph Markets Pro and TradingView shows BTC/USD hovering just above $20,000 on the day.

The pair saw flash volatility as the Fed rose 0.75%, with the fakeout moving up and down triggering both long and short extinctions.

At the time of writing, a total of $165 million has been recorded from cross-crypto liquidations over the past 24 hours, Coinglass data confirmed.

Bitcoin eventually ended up slightly below its pre-fed level, a spot that held throughout the day as analysts waited for new signals.

There was no slight need to adjust the current forecast for popular Twitter trader Crypto Tony which included a decline to resume in a short time.

“My main bias remains unchanged as I expect more consolidation and another drop to create spring-like momentum to kick start the bull run,” he told fans that day. . . . . . . . . . . . .

Data from the Material Indicators Monitoring Source highlighted potential support and resistance areas using trades from the Binance order book.

$19,000 and $21,000 were focused for analyst Martun, a provider of on-chain analytics platform CryptoQuant.

“Orders for two sets have been added at $19000 & $21000. These are placed around the FOMC,” he said.

“Will this be a new type of business?”

BTC/USD Order Book Data (Binance). Source: Application Reference/Twitter
DXY suggests bad news for risk assets
Meanwhile, fellow trader John Wick sounded a cautionary note about the increased strength of the US dollar. After the rate increase.

RELATED: Bitcoin seller fatigue hits 4-year low in ‘normal’ bear market move

US Dollar Index (DXY) One Hour Candlestick Chart. Source: TradingView
When he entered the US dollar index chart. (DXY), warned that the impact of dollar gains would be felt across risk assets.

“The first chart is the breaking ball-armed dollar. Bouncing off recent lows, targeting the top of the uptrend channel, just as I said would happen after we saw another rise,” he said.

“This will suppress the prices of all commodities, including BTC. Notice how the RSI remains sharply above the median line.”

Charts of American Specifications. Dollar Index (DXY). Source: John Wick/Twitter
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Source: CoinTelegraph

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