Bitcoin continues its upward trajectory, poised to break the $95,000 threshold as market sentiment shifts with the rising likelihood of a Federal Reserve rate cut. With the Fed meeting on June 18, speculation is rife that a cut could propel Bitcoin toward the coveted $100,000 mark, especially as traditional markets falter under economic pressure.
Rate Cut Expectations Fuel Bitcoin Optimism
Recent data from Cointelegraph Markets Pro and TradingView revealed Bitcoin’s resilience, rebounding after slipping below the $93,000 mark. This slight stumble followed the release of U.S. GDP figures highlighting a contracting economy—a scenario often prompting the Federal Reserve to consider rate cuts to reinvigorate growth. As traditional assets like bonds become less attractive with lower yields, investors might increasingly turn to Bitcoin, fueling its price surge.
The probability of a rate cut at the upcoming Federal Open Market Committee meeting has jumped to 60%, up from 57% just a day prior. This shift has invigorated bullish sentiments, reminiscent of Bitcoin’s previous rallies around rate cut announcements. BTCmoonmath, a pseudonymous Bitcoin analyst, commented on social media platform X, “Bitcoin surges back toward $95K, rebounding from bearish US GDP data. Traders anticipate a Federal Reserve’s easing and rate cuts in the future, despite a shrinking economy and low consumer confidence.”
Critical Levels and Market Dynamics
As Bitcoin eyes the $95,000 resistance level, analysts are closely monitoring key technical indicators. Glassnode’s latest report highlighted Bitcoin’s recent breach of the 111-day simple moving average at $91,300 and the short-term holder cost-basis at $93,200. These levels, now reclaimed, underscore the current strength of Bitcoin’s upward movement. “These are levels that must be broken and held for further price appreciation,” Glassnode noted, emphasizing the potential for a bullish trajectory if these thresholds are maintained.
Popular analyst AlphaBTC expressed optimism, suggesting that a decisive break above $95,000 could propel Bitcoin toward the $100,000 psychological level. “Bitcoin is ready to blast through $96,000,” he shared on X, envisioning a scenario where a strong push could lead to a significant price squeeze into the low 100Ks.
The Road Ahead: Uncertainties and Opportunities
However, the path to higher valuations is not without risks. Any dip below the critical $93,000 mark could see Bitcoin retracing to the $84,000-$88,000 range, as noted by analysts. Daan Crypto Trades, another respected voice in the crypto community, highlighted that a steady consolidation without rejection could position Bitcoin for a move toward the $100K region, contingent on maintaining upward momentum.
As the market braces for the Federal Reserve’s next decision, the interplay between economic indicators and investor sentiment will be crucial. The upcoming jobs report on May 2, revealing employment changes in April, could further influence Bitcoin’s trajectory, adding another layer of complexity to an already volatile market landscape.
In this dynamic environment, where economic indicators and investor psychology intertwine, Bitcoin’s potential ascent to six-figure valuations raises both excitement and caution. The coming weeks will be pivotal in determining whether Bitcoin can sustain its upward momentum or if market forces will pull it back. As always, investors are advised to conduct thorough research and exercise due diligence in navigating these turbulent waters.
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This article is based on: Bitcoin price about to ‘blast’ higher as Fed rate cut odds jump to 60%
Steve Gregory is a lawyer in the United States who specializes in licensing for cryptocurrency companies and products. Steve began his career as an attorney in 2015 but made the switch to working in cryptocurrency full time shortly after joining the original team at Gemini Trust Company, an early cryptocurrency exchange based in New York City. Steve then joined CEX.io and was able to launch their regulated US-based cryptocurrency. Steve then went on to become the CEO at currency.com when he ran for four years and was able to lead currency.com to being fully acquired in 2025.
