Bitcoin price is currently consolidating just below the February 21 high of $58,367. Fed Chairman Powell says crypto assets are not useful as a store of value. Powell’s comments were not well received by market participants and now BTC could be at risk of a steep correction. Bitcoin could be bound for significant losses in response to Federal Reserve Chairman Powell’s negative comments on cryptocurrencies and whether the time was right for CBDCs. Powell’s comments reignite debate on cryptocurrencies Speaking today at the Bank for International Settlements conference, Federal Reserve Chairman Jerome Powell was adamant that there was no rush for the central bank to introduce a CBDC and questioned the legality of such digital assets. Powell was very direct with his comments on what he called crypoassets. They’re more of an asset for speculation, so they’re not particularly in use as a means of payment. It’s more a speculative asset. It’s essentially a substitute for gold rather than for the dollar. His bearish insights come a few weeks after Janet Yellen expressed her concerns about cryptocurrencies. A key point in Powell’s comments on a CBDC was that the Federal Reserve would need “buy-in from Congress, administration, and the broad public support.” The central bank would not move forward without authorization from congress. He went on to say that the ongoing collaboration with the Massachusetts Institute of Technology’s digital currency initiative is not to develop a prototype CBDC but a study of the limits of the technologies and the costs and benefits. Bitcoin price shows indecision within the trader ranks After falling below the lower trendline of an ascending channel, Bitcoin has been trading around the February 21 high at $58,367. The volume profile has compressed, and the RSI has moved closer to the 50 level, showing growing indecision within the market participants. In the 4-hour chart below, BTC price could be completing a rounding formation just above the 100 four-hour simple moving average (SMA). A failure to hold leaves the flagship cryptocurrency open to a range of bearish outcomes. The first significant support is the head-and-shoulders bottom’s neckline at $53,350, followed by the .50 retracement level at $52,397. If selling pressure accelerates, the next support is not until the February 28 low at $43,106. BTC/USD 4-hour chart A reversal to the upside needs a daily close above the all-time high at $61,788.45, which may release a quick rise to the 1.618 Fibonacci retracement level at $67,850. FX Street FX Street FXStreet is the leading independent portal dedicated to the Foreign Exchange (Forex) market. It was launched in 2000 and the portal has always been proud of their unyielding commitment to provide objective and unbiased information, to enable their users to take better and more confident decisions. View All Post By FX Street Crypto News share Read Next Enjin Coin Price Forecast: ENJ is primed for further downside action FX Street 2 years Bitcoin price is currently consolidating just below the February 21 high of $58,367. Fed Chairman Powell says crypto assets are not useful as a store of value. Powell's comments were not well received by market participants and now BTC could be at risk of a steep correction. Bitcoin could be bound for significant losses in response to Federal Reserve Chairman Powell's negative comments on cryptocurrencies and whether the time was right for CBDCs. Powell's comments reignite debate on cryptocurrencies Speaking today at the Bank for International Settlements conference, Federal Reserve Chairman Jerome Powell was adamant that there was no… Regulated Forex Brokers All Brokers Sponsored Brokers Broker Benefits Min Deposit Score Visit Broker 1 $100T&Cs Apply 0% Commission and No stamp DutyRegulated by US,UK & International StockCopy Successfull Traders 9.8 Visit Site FreeBets Reviews$100Your capital is at risk. 2 T&Cs Apply 9.8 Visit Site FreeBets Reviews$100Your capital is at risk. 3 Recommended Broker $100T&Cs Apply No deposit or withdrawal feesTrade major forex pairs such as EUR/USD with leverage up to 30:1 and tight spreads of 0.9 pips Low $100 minimum deposit to open a trading account 9 Visit Site FreeBets ReviewsYour capital is at risk. 4 T&Cs Apply Visit Site FreeBets ReviewsYour capital is at risk. 5 Recommended Broker $0T&Cs Apply Trade gold, silver, and platinum directly against major currenciesUp to 1:500 leverage for forex trading24/5 customer service by phone and email 9 Visit Site FreeBets ReviewsYour capital is at risk.