Coinspeaker
Bitcoin (BTC) Price Rebounds Above $60k Ahead of Expected Fed’s Rate Cut Today
Bitcoin (BTC) price rallied over 3 percent in the past 24 hours to reach a daily high of about $61,242 before retracing towards $60.4k during the mid-London session. In the daily time frame, the flagship coin closed above the 50 Moving Average (MA), signaling the reemergence of bullish sentiment.
As a result, the total crypto market cap gained around 1 percent in the past 24 hours to hover about $2.17 trillion at the time of this reporting. The sudden crypto rebound amid heightened volatility resulted in forced liquidations of more than $135 million during the past 24 hours, mostly involving the short traders.
The notable liquidation of short traders is likely to extend the crypto bullish outlook as it may trigger a midterm short squeeze.
Top Reasons Why Bitcoin Price Leapt Higher Today
Today’s Bitcoin price rally above $61K has been in the making for the past two months. From a technical standpoint, Bitcoin price has been forming a reversal pattern in the daily and weekly time frame despite the death cross between the 50 and 200-day Moving Averages (MAs).
Moreover, the flagship coin has established a robust support zone above $54K, which has thus resulted in a triple bottom coupled with a rising divergence on the daily Relative Strength Index (RSI).
From a fundamental perspective, Bitcoin price has been gaining more ground against the altcoin market, as shown by its ballooning dominance, which reached a multi-year high of about 58.46 percent earlier today.
The demand for Bitcoin among whale investors has remained relatively higher compared to the altcoin industry, led by Ethereum. According to on-chain data analysis provided by CryptoQuant, Bitcoin custody wallets have recorded six days of accumulation, thus reinforcing the overall bullish outlook.
Whales are accumulating #Bitcoin.
Six days of accumulation alerts in a row. Primarily from custody wallet inflows.
Nothing has changed for Bitcoin; we're in the middle of the bull cycle. pic.twitter.com/DE0A1Khhus
— Ki Young Ju (@ki_young_ju) September 18, 2024
Meanwhile, the United States spot Bitcoin ETFs registered a net cash inflow of about $186 million on Tuesday. Remarkably, none of the issuers of the US spot Bitcoin ETFs registered a net cash outflow on Tuesday, even Grayscale’s GBTC. While BlackRock’s IBIT did not register a net cash inflow on Tuesday, Fidelity’s FBTC, Bitwise BITB, and ARK 21Shares Bitcoin ETF (ARKB) all reported more than $42 million in cash inflows on Tuesday.
Bigger Picture
The cryptocurrency industry has gradually gained bullish momentum as Gold rallied to its all-time high in the past few days. The ongoing global economic shift is expected to be escalated by today’s Federal Funds Rate and the FOMC statement.
As Coinspeaker reported, there is a high chance of the Federal Reserve initiating the first interest-rate cut later today for the first time in four years. If the Fed initiates a rate cut today, it will give investors access to what is perceived as ‘easy money’, and in turn, help increase the overall crypto liquidity in the near term.
Bitcoin (BTC) Price Rebounds Above $60k Ahead of Expected Fed’s Rate Cut Today
