**Bitcoin Hits Three-Week Highs Post Fed Rate Cut**

Bitcoin (BTC) surged to $62,600 on Sept. 19, following a rare 0.5% interest rate cut by the US Federal Reserve. This marked only the third time in history such a significant rate cut initiated a cycle. The move liquidated $128 million in short BTC positions, according to CoinGlass.

Traders are now eyeing the $62,500 resistance level, with some predicting a potential rise to $64,000. However, caution is advised, as significant resistance remains.

Meanwhile, the US Dollar Index (DXY) experienced volatility, initially rising before falling back to prior support levels. Former BitMEX CEO Arthur Hayes suggested that the Bank of Japan's upcoming rate decision could further influence BTC prices.

Despite the Fed's optimistic outlook, historical data warns that such rate cuts often precede market downturns. The Kobeissi Letter highlighted that past 0.5% cuts led to significant market declines within two years.

Stay tuned for further updates as the market reacts to these developments.