Bitcoin remains inside its rising channel Bitcoin dipped below $79,000 at the time of writing. Its pullback followed a recent high near $81,455 and kept price within the ascending four-hour c
Bitcoin dipped below $79,000 at the time of writing. Its pullback followed a recent high near $81,455 and kept price within the ascending four-hour channel formed after the August 19 rally.
Bitcoin/USD four-hour chart. Source: TradingView, Bitstamp. Captured August 28, 2026. The 50-period simple moving average is rising beneath the formation near $77,800. The 100- and 200-period averages sit much lower, around $70,900 and $67,500. Bitcoin therefore retains a sizeable buffer above its longer averages, with the 50-period line providing the closer reference if selling continues.
Momentum has cooled. The four-hour relative strength index is near 54, below its signal average around 59 and well under the overbought readings reached earlier in the rally. Buyers have lost some force, but the RSI has not fallen into oversold territory.
Warsh said the summer’s inflation reports were better than expected, but he did not believe the underlying trend had changed meaningfully. The Fed must be confident that inflation is returning to target or, in his words, “we have work to do.” He described the 2% personal consumption expenditures inflation target as “firm and fixed.”
The rest of his economic assessment offered little evidence of broad stress. Consumer spending remains healthy, labour markets are stable and business investment is rising rapidly. Warsh also said financial conditions are difficult to describe as restrictive, with credit markets showing few signs of policy restraint.
Healthy demand and stable employment give policymakers room to wait for clearer inflation evidence. Warsh said a “good majority” favoured leaving rates unchanged at the July meeting. His remarks kept the next decision open while maintaining the pressure on inflation.
Other markets showed an uneven response. Spot gold extended its losses and was down just over 1%, trading near $4,550 per ounce.
Changes in the main US stock indexes were much smaller. The S&P 500 was down roughly 0.1% and the Nasdaq was about 0.2% lower. The Dow was close to flat, showing a gain of approximately 0.1%.
These are rounded figures from a fast-moving market and may change quickly. They describe what happened while investors were assessing Warsh’s remarks; the timing alone does not prove that the speech produced every move.
The lower channel boundary and the rising 50-period average near $77,800 provide the nearest areas to watch if selling continues. A four-hour close beneath the formation would damage the post-rally structure and shift greater attention towards that moving average.
Bitcoin first needs to recover $80,000. The recent high around $81,500 is the more demanding barrier. A four-hour close above it with a stabilising RSI would improve the continuation case. Another rejection would preserve the existing consolidation.
Warsh clarified the Fed’s inflation priority without resolving Bitcoin’s technical pause. A completed four-hour close will carry more weight than the brief move below $79,000. Until price leaves the formation, the chart records weaker momentum inside an intact channel.
This article is provided for informational purposes only and does not constitute financial or investment advice.
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