Bitcoin (BTC) price fell below $88,000 as traders anticipated weakness ahead of a major US macro event. Traders expect BTC to dip further into the Fed interest-rate decision, emphasizing the need to hold above $86,000. BTC price volatility returned with a $2,000 drop over two hourly candles, potentially forming a gap on CME Group’s Bitcoin futures markets.

Trader Killa noted that Mondays typically set the tone for the rest of the week in terms of price action. Market participants focused on the US Federal Reserve’s decision on interest-rate changes, expecting a 0.25% cut at the FOMC meeting. Bitcoin could face downward pressure into the announcement, causing volatility as markets analyze Fed officials’ language for future policy hints.

Crypto trader Michaël van de Poppe suggested that FOMC nerves could lead to a retreat to $87,000 before bouncing back up. He emphasized $86,000 as the crucial support level for bulls. Overall, the market is closely watching the Fed’s decision for potential impact on Bitcoin’s price and market sentiment.

Read more at Cointelegraph: Bitcoin Price Eyes $87K Dip Into FOMC Week