The cryptocurrency market has shown a strong recovery today, with Bitcoin (BTC) and Ethereum (ETH) shrugging off recent volatility.
This rebound is particularly notable as it comes despite a lack of consensus from the U.S. Federal Reserve.
According to recently released Fed minutes, there was a rare split decision among governors, with two members advocating for an immediate interest rate cut. While their proposal did not pass, this dissent from within the central bank signals growing concern over economic conditions and gives hope to market participants that a rate cut may be on the horizon. A more dovish Fed stance is generally seen as a significant bullish catalyst for risk assets like cryptocurrencies.
Cryptocurrencies prices fluctuate
Bitcoin (BTC) has rebounded to trade around $114,000, holding a key support level and demonstrating “dip-buying” resilience. Analysts note that sell orders quickly disappear whenever the price pulls back slightly, indicating strong demand from institutional investors and sophisticated traders who are using these dips as entry points.
Ethereum (ETH) has outperformed Bitcoin, surging over 6% in the last 24 hours to reclaim the $4,300 level. This momentum is supported by strong on-chain metrics and renewed institutional interest, which have been driving a recent wave of buying activity.
The market’s reaction suggests that a potential policy pivot by the Fed, rather than its current stance, is the primary driver of investor confidence.
While volatility remains, with some short-term bearish signals in derivative markets, the overall sentiment remains cautiously bullish, with eyes now on Federal Reserve Chairman Jerome Powell’s upcoming speech for further guidance.
Bitcoin price is now moving close to the $115,000 low and the 50-day SMA support, as reported by CoinIdol.com. The price is now $113,097 and fluctuate.
Source: https://coinidol.com/federal-reserve-fuels-bullish/