Last week, BTC moved to its highest trading level in over a month—$18,375. However, the move quickly faded due to the Fed's reaction to the inflation data.
At the start of the week, bitcoin increased by over $1,000 and hit the $18,000 resistance level after CPI data showed a significant cooling in U.S. inflation.
The market then struck a more cautious tone due to rumors surrounding Binance's solvency and potential investigations for money laundering.
Attention then turned to the Fed’s half-a-percentage increase in interest rates, which was widely expected. The main point of contention was the Fed members’ forward rate projection, which now points to more hikes in 2023 and, therefore, more pain for risk-on assets.
