Introduction to Bitcoin’s Recent Price Movement
Bitcoin has been attempting to break above $95,000 as markets anticipate that the US Federal Reserve might cut rates sooner than expected. The odds of a Fed interest rate cut at the June 18 FOMC meeting have increased, which could be a bullish catalyst for risk-on assets and Bitcoin.
Factors Influencing Bitcoin’s Price
The US economy has been experiencing a slump, with the latest GDP data reflecting a shrinking economy. This has led to increased expectations of a rate cut, which reduces yields on traditional assets like bonds and pushes investors toward Bitcoin and risk-on assets. Historically, rate cut expectations have been a bullish catalyst for risk-on assets and Bitcoin.
What to Expect from the May 2 Jobs Report
The May 2 jobs report, which reveals how many jobs were added to the US economy in April, will be closely watched to see how it impacts the crypto market and Bitcoin price. Analysts believe that a sustained push through the resistance zone above $95,000 opens the door for a swift move higher.
Key Levels to Watch for Bitcoin Price
Currently, $95,000 is the key level traders are watching. Breaking $95,000 could push the BTC price toward $100,000, while dropping below $93,000 may bring the $84,000 back into the picture. The market intelligence firm Glassnode referred to the 111-day simple moving average (SMA) at $91,300 and the short-term holder (STH) cost-basis at $93,200 as key levels that must be broken and held for further price appreciation.
Analysts Predictions for Bitcoin Price
Popular analyst AlphaBTC said that! a decisive break above $95,000 could see BTC move out of consolidation, with the next logical move being toward the $100,000 psychological level. Conversely, a drop below April 30 lows at $93,000 could see BTC/USD sink deeper toward the $84,000 and $88,000 range. Fellow crypto analyst Daan Crypto Trades said that if the price consolidates without rejection and keeps grinding upward, then that should position BTC for a move higher toward the $100K region.
Conclusion
In conclusion, Bitcoin’s recent price movement is being influenced by the anticipation of a Fed interest rate cut. The odds of a rate cut have increased, which could be a bullish catalyst for risk-on assets and Bitcoin. The key levels to watch for Bitcoin price are $95,000, $93,000, and $100,000. Analysts predict that breaking $95,000 could push the BTC price toward $100,000, while dropping below $93,000 may bring the $84,000 back into the picture. As the crypto market continues to evolve, it’s essential to stay informed and up-to-date on the latest developments and predictions.
