A Bitcoin rally is set up: Policy, politics, and price action collide

The post A Bitcoin rally is set up: Policy, politics, and price action collide appeared on BitcoinEthereumNews.com. Key Takeaways Why are investors positioning for a Bitcoin rally? Federal Reserve rate cuts of 25–50 basis points could unlock $7.2 trillion in money market funds, driving capital into Bitcoin. How could the Bitcoin Act impact long-term adoption? The Bitcoin Act proposes U.S. acquisition of 1 million BTC over five years, cementing Bitcoin as a macro asset class. Markets are pricing in a dovish outlook as the Federal Reserve and its Federal Open Market Committee (FOMC) deliberate on its next interest rate move. Expectations point to a cut of between 25 and 50 basis points, a policy shift that investors believe could unlock significant capital for both equities and crypto. Rate cuts have historically served as catalysts for risk assets, with Bitcoin [BTC] often emerging as a key beneficiary. More liquidity flowing into markets typically drives capital rotation into digital assets. Investors appear to be anticipating that trend, with Bitcoin recently crossing $117,000 for the first time since the 23rd of August, when it briefly touched that level. Kevin Rusher, founder of real-world asset platform RWA, said the bigger picture lies beyond the short-term reaction. “It’s not the short-term market reaction that matters – it’s the fact that resuming the cutting cycle begins to unlock the $7.2 trillion sitting in money market funds, as well as the trillions tied up in outstanding mortgage debt.” Regulatory framework could fuel Bitcoin Alongside monetary policy, the proposed Bitcoin Act could provide critical structure for long-term adoption. The bill would commit the U.S. to acquiring one million Bitcoin over five years, a move that analysts say could accelerate institutional inflows and demographic adoption. While the bill’s outcome remains uncertain, optimism is building. Tom Lee, chairman of BitMine Immersion Technologies, said the coming months could be decisive, speaking to CNBC. “A rate cut could make…

Sep 18, 2025 - 03:00
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A Bitcoin rally is set up: Policy, politics, and price action collide

The post A Bitcoin rally is set up: Policy, politics, and price action collide appeared on BitcoinEthereumNews.com.

Key Takeaways Why are investors positioning for a Bitcoin rally? Federal Reserve rate cuts of 25–50 basis points could unlock $7.2 trillion in money market funds, driving capital into Bitcoin. How could the Bitcoin Act impact long-term adoption? The Bitcoin Act proposes U.S. acquisition of 1 million BTC over five years, cementing Bitcoin as a macro asset class. Markets are pricing in a dovish outlook as the Federal Reserve and its Federal Open Market Committee (FOMC) deliberate on its next interest rate move. Expectations point to a cut of between 25 and 50 basis points, a policy shift that investors believe could unlock significant capital for both equities and crypto. Rate cuts have historically served as catalysts for risk assets, with Bitcoin [BTC] often emerging as a key beneficiary. More liquidity flowing into markets typically drives capital rotation into digital assets. Investors appear to be anticipating that trend, with Bitcoin recently crossing $117,000 for the first time since the 23rd of August, when it briefly touched that level. Kevin Rusher, founder of real-world asset platform RWA, said the bigger picture lies beyond the short-term reaction. “It’s not the short-term market reaction that matters – it’s the fact that resuming the cutting cycle begins to unlock the $7.2 trillion sitting in money market funds, as well as the trillions tied up in outstanding mortgage debt.” Regulatory framework could fuel Bitcoin Alongside monetary policy, the proposed Bitcoin Act could provide critical structure for long-term adoption. The bill would commit the U.S. to acquiring one million Bitcoin over five years, a move that analysts say could accelerate institutional inflows and demographic adoption. While the bill’s outcome remains uncertain, optimism is building. Tom Lee, chairman of BitMine Immersion Technologies, said the coming months could be decisive, speaking to CNBC. “A rate cut could make…

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