Bitcoin price has maintained its ongoing surge in a bid to retest $70,000 as the United States Federal Reserve left the rate unchanged.
The United States Federal Reserve has maintained its interest rate, which has significantly impacted the price of Bitcoin (BTC) despite the broader financial ecosystem’s expectations.
Bitcoin Price and Fed Stance
The US banking officials resolved to maintain rates between 5.25% and 5.50% following the Federal Open Market Committee (FOMC) conclusion. This contradicts the expectation that the Federal Reserve would emulate the actions of other G7 central banks, which have reduced rates by 25 basis points.
The Bank of Canada broke last week’s stalemate by reducing the interest rate by 0.25%, citing its confidence that inflation is no longer escalating. The European Central Bank (ECB) also lowered its interest rate by the same percentage in response to this action. The Danish Central Bank also reduced its rate on Thursday to support its fiat currency.
The Bitcoin price fluctuated from a low of $66,190 to a high of $70,100 in each rate cut announcement, exhibiting a wavy motion. The cost of Bitcoin maintains its favorable rebound from earlier in the day as the Federal Reserve continues to strengthen its rate stance. The coin has increased by 3.22% in the past 24 hours to $68,785.91 at the time of writing.
Volatility is high, as the trading volume has decreased by 16.3% to $30,874,721,390 despite this increase. The 24-hour minimum is $66,902.46, and the highest peak is $69,977.89. It is anticipated that the Federal Reserve’s announcement will contribute to the favorable momentum of Bitcoin, enabling it to retest the resistance level at $70,000.
Market Momentum is Just Shaping Up
The price of Bitcoin is highly susceptible to general market trends. The growth of the mainstream stock market may be further influenced by its reaction in the coming hours.
The impact of spot BTC ETF may also be a critical factor in the future as Bitcoin investors attempt to comprehend the current market positioning. Grayscale Investments’ capital exodus has fuelled a two-day outflow streak, which has shifted the trend after a 19-day net-inflow streak.
Bitcoin’s growth prospects are generally favorable, with predicted short-term price targets of $100,000.