$BTC Bitcoin Rallies Above $64,000 as Fed Hints at Rate Cuts – Could We See a New High Soon?
Bitcoin (BTC), the world’s oldest and most valuable cryptocurrency, continued its upward momentum, trading above $64,500 and reaching an intra-day high of $64,879. This bullish trend has sparked renewed investor optimism.
Earlier, Bitcoin surged past the $64,000 mark following Federal Reserve Chair Jerome Powell’s speech at the Jackson Hole conference. Powell hinted at potential interest rate cuts and emphasized the need for policy adjustments.
Powell expressed confidence that inflation is moving toward the Fed’s 2% target and suggested it might be time for a shift in monetary policy.
However, the timing and pace of rate cuts would depend on future economic data and the broader economic outlook.
Additionally, Bitcoin ETFs saw $36 million in inflows on Friday, further boosting BTC prices by increasing investor confidence. This influx reinforced bullish momentum and indicated strong market demand.
Bitcoin Jumps Over $64,500 After Powell Hints at Rate Cuts
Federal Reserve Chair Jerome Powell’s speech at the Jackson Hole conference triggered a notable rally in the cryptocurrency market.
Powell hinted at possible interest rate cuts and emphasized the need for policy adjustments based on upcoming economic data.
This dovish outlook boosted investor confidence, helping Bitcoin surge nearly 5% yesterday, crossing the $63,000 mark, and continuing to climb above $64,500 today.
The Fed has been raising interest rates since March 2022 to combat inflation, but Powell’s suggestion of potential rate cuts signals a shift that could benefit riskier assets like Bitcoin.
Lower interest rates reduce borrowing costs, increase liquidity, and encourage investment in assets like cryptocurrencies.
Analysts from FRNT Financial believe that a weakening dollar, combined with expected rate cuts, could push Bitcoin to a new all-time high.
• Bitcoin gains momentum, surpassing $64,500.
• Lower interest rates could drive further crypto market rallies.
