Federal Reserve Rate Cut Decision May Not Affect Bitcoin’s Price Movement, Experts Say

Federal Reserve Rate Cut Decision Looms as Bitcoin Reaches $105,000

Bitcoin has reached a new milestone of $105,004 amid the anticipation of a rate cut decision by the Federal Reserve. This significant move comes after it rose 3.5% over the past 24 hours and marks a whopping 140% yearly increase.

As the market awaits the anticipated interest rate announcement, experts suggest that the expected cut may not have a substantial impact on Bitcoin’s immediate price movement. According to Luis Buenaventura, head of crypto at GCash, the market has been anticipating this move for several weeks, effectively pricing in the change.

While historical data shows that Bitcoin often increases following a rate cut, analysts emphasize that macroeconomic factors and institutional engagement will continue to drive the cryptocurrency’s growth. This sentiment is reinforced by the appointment of former PayPal COO David Sacks as the White House AI & Crypto Czar, indicating growing mainstream recognition and potential for increased investment.

As the cryptocurrency market continues its upward trajectory, multiple underlying factors have contributed to maintaining this bullish momentum. Inflows into spot ETFs, institutional adoption, and persistent spot volumes across major exchanges demonstrate a maturing ecosystem.

Despite the price surge, Bitcoin’s dominance in the cryptocurrency space remains intact, exerting a considerable influence on the overall sentiment and direction of the market. With relatively stable volatility metrics and orderly trading conditions, it appears that the market is sustaining its purchasing power despite the rapid appreciation.

The current market indicators suggest ongoing buying pressure across major exchanges, with order books showcasing robust support at various price levels below current trading ranges.

Source: blockonomi.com