Fed’s Signals Propel Bitcoin to New Heights
The post Fed’s Signals Propel Bitcoin to New Heights appeared on BitcoinEthereumNews.com. Federal Reserve Chairman Jerome Powell’s recent comments have prompted a notable surge in Bitcoin‘s value over the past weekend. Initially trading at $103,000, Bitcoin rapidly rose to $106,000 following Powell’s statements, which suggested a potential shift in the Federal Reserve’s monetary policy. This development not only benefited Bitcoin but also helped boost several altcoins. As of the latest updates, Bitcoin maintains a stable trade above the $105,000 threshold, with increased trading volumes seen during the Asian market hours, reigniting interest among investors. What is the Market’s Reaction to Powell’s Remarks?Will a Potential Rate Cut Impact Cryptocurrency Markets? During an event on international finance, Jerome Powell highlighted significant decreases in inflation and stability in unemployment rates, without explicitly addressing interest rate futures. The inference drawn by market participants suggested a probable move away from the current tightening stance of the Federal Reserve towards a more lenient policy approach. This interpretation influenced both bond and currency markets, with a slight decrease in bond yields and a weakening dollar index further hinting at potential rate adjustments. Will a Potential Rate Cut Impact Cryptocurrency Markets? Powell’s implications seemed to have an immediate effect on Bitcoin, spurring a $3,000 leap in seconds, elevating its position beyond the weekend’s dip. The futures funding markets have now adjusted expectations, shifting anticipated rate cuts closer from November to September. Recent data has revealed a heightened 55% chance of witnessing a rate reduction by 25 basis points before the year’s end, despite a strong likelihood of maintaining current rates at the upcoming FOMC meeting in June. Bitcoin’s price momentum has also been accompanied by an 8% increase in futures contracts open positions within a single day. On-chain data underscores that costs for short-term traders revolve around $96,700, inferring a potential for new record attempts if this threshold holds. The…
The post Fed’s Signals Propel Bitcoin to New Heights appeared on BitcoinEthereumNews.com.
Federal Reserve Chairman Jerome Powell’s recent comments have prompted a notable surge in Bitcoin‘s value over the past weekend. Initially trading at $103,000, Bitcoin rapidly rose to $106,000 following Powell’s statements, which suggested a potential shift in the Federal Reserve’s monetary policy. This development not only benefited Bitcoin but also helped boost several altcoins. As of the latest updates, Bitcoin maintains a stable trade above the $105,000 threshold, with increased trading volumes seen during the Asian market hours, reigniting interest among investors. What is the Market’s Reaction to Powell’s Remarks?Will a Potential Rate Cut Impact Cryptocurrency Markets? During an event on international finance, Jerome Powell highlighted significant decreases in inflation and stability in unemployment rates, without explicitly addressing interest rate futures. The inference drawn by market participants suggested a probable move away from the current tightening stance of the Federal Reserve towards a more lenient policy approach. This interpretation influenced both bond and currency markets, with a slight decrease in bond yields and a weakening dollar index further hinting at potential rate adjustments. Will a Potential Rate Cut Impact Cryptocurrency Markets? Powell’s implications seemed to have an immediate effect on Bitcoin, spurring a $3,000 leap in seconds, elevating its position beyond the weekend’s dip. The futures funding markets have now adjusted expectations, shifting anticipated rate cuts closer from November to September. Recent data has revealed a heightened 55% chance of witnessing a rate reduction by 25 basis points before the year’s end, despite a strong likelihood of maintaining current rates at the upcoming FOMC meeting in June. Bitcoin’s price momentum has also been accompanied by an 8% increase in futures contracts open positions within a single day. On-chain data underscores that costs for short-term traders revolve around $96,700, inferring a potential for new record attempts if this threshold holds. The…
What's Your Reaction?
