Bitcoin (BTC-USD) price predictions are worth keeping an eye on as the market’s favorite cryptocurrency has a rough day on Friday.
The drop comes as crypto investors react to the Federal Reserve’s most recent meeting. That meeting resulted in an interest rate hike, which harmed the stock market. With BTC slipping, it appears that this is now extending to crypto.
In addition, the Federal Reserve will hold more meetings in the coming months. As the reserve fights inflation, Chairman Jerome Powell has warned that those meetings will almost certainly result in more interest rate hikes.
With that in mind, let’s take a look at some of the most recent Bitcoin price predictions that traders should be aware of.
Predicting where Bitcoin will go
Bitcoin was trading near $36,000 on Friday, after falling to $35,280, its lowest level since January 23, as U.S. stocks continued to fall, Treasury yields rose, and the dollar rose to some of its highest levels in 20 years.
According to data from crypto intelligence firm Coin Metrics, the correlation between bitcoin BTCUSD, -7.21 percent, and the S&P 500 index SPX, -2.78 percent, reached its highest level in history on Thursday.
The Federal Reserve raised its key interest rate by half a percentage point on Wednesday and announced that it will begin a multi-trillion-dollar balance sheet contraction in June.