[Bitcoin Now] Sideways Movement Ahead of US FOMC and CPI Announcements... Just Below $17,000

[Image source=Reuters Yonhap News]

[Asia Economy Reporter Myunghwan Lee] The price of the leading virtual asset Bitcoin is hovering just below $17,000 ahead of the U.S. Federal Open Market Committee (FOMC) and Consumer Price Index (CPI) announcements.

According to the global virtual asset market tracking site CoinMarketCap, as of 11:33 a.m. on the 12th, the price of Bitcoin was recorded at $16,947 (approximately 22.23 million KRW), down 1.08% from the previous day.

Bitcoin's price appears to be consolidating ahead of major events this week, including the FOMC and CPI announcements. The U.S. Federal Reserve (Fed) will hold the final monetary policy meeting of the year, the December FOMC, starting on the 13th (local time). The Fed is expected to implement a 'big step' by raising the benchmark interest rate by 0.5 percentage points at this FOMC.

Additionally, on the first day of the FOMC, the U.S. November Consumer Price Index will be released. If the CPI exceeds market expectations, there is speculation that the Fed may adopt a more hawkish stance again.

Joe DiPascal, CEO of BitBull Capital, told the virtual asset specialized media CoinDesk, "Bitcoin's price has barely held the $17,000 level ahead of the CPI announcement and FOMC," adding, "Volatility is expected due to these major events, but the price remains positive." CEO DiPascal predicted that Bitcoin's price will fluctuate between a low of $16,000 and a high of $20,000.

Investor sentiment in virtual assets remains in 'fear.' According to virtual asset data provider Alternative, the Fear & Greed Index, which measures investor sentiment as an index, rose by 1 point from the previous day to 27 points (fear) on this day. Alternative's Fear & Greed Index ranges from 0 points, indicating extreme fear and pessimism about investment, to near 100 points, indicating optimism.