Bitcoin Surges Above $76,000 as Markets Await Fed Rate Decision
As markets brace for today’s crucial Federal Reserve interest rate decision, all eyes are on Bitcoin, which has recently surged above $76,000. Glassnode cofounders, also known as “Negentropic” on X (formerly Twitter), have been closely tracking the cryptocurrency’s progress and suggest that Bitcoin could be poised for another major move.
Bitcoin Hits All-Time High
Bitcoin recently surpassed $76,000, reaching highs of $76,509 on Wednesday, setting a new all-time high. This surge coincides with fresh all-time highs for traditional market indices like the Nasdaq and S&P 500.
Decoupling from Traditional Markets
An interesting development is the weakening correlation between Bitcoin and these traditional indices. This decoupling raises the question: Could Bitcoin push even higher independently of traditional markets?
Negentropic indicated that with the impending interest rate decision and Fed Chair Jerome Powell’s speech afterward, this could be Bitcoin’s first real test for its bullish trend. The market closely watches to see if Bitcoin will continue to rise independently of traditional markets.
At the time of writing, BTC was up 1.72% in the last 24 hours to $74,900 and up 6% weekly.
Market Braces for Fed Rate Cut; Powell Speech
On September 18, the Fed began the policy easing cycle with a half-percentage-point rate drop. The Federal Reserve is generally expected to cut interest rates again, with financial markets pricing a quarter-point drop as a near certainty.
Investors are eagerly awaiting the Fed’s interest rate decision during its policy meeting today Thursday. The decision will be followed by comments from Fed Chair Jerome Powell, which may provide insight into the Fed’s economic and interest rate expectations for the coming months.
Traders were last pricing in a 99% chance of a quarter-point cut in interest rates, based on CME Group’s FedWatch tool. This follows the Fed’s 50 basis point rate cut in September.
This article was originally published on U.Today
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In this dynamic financial landscape, Bitcoin’s surge above $76,000 has captured the attention of investors worldwide. The cryptocurrency’s decoupling from traditional market indices raises intriguing questions about its future trajectory and potential to rise independently of traditional markets.
As the Federal Reserve prepares for another interest rate decision, all eyes are on Bitcoin to see if it can sustain its bullish trend amidst changing economic conditions. The market eagerly anticipates Fed Chair Jerome Powell’s comments for insights into the Fed’s economic outlook and interest rate expectations.
With Bitcoin setting new all-time highs and the Fed likely to announce another rate cut, the financial landscape is poised for significant shifts. Investors must closely monitor these developments to make informed decisions and navigate the evolving market landscape effectively.