Bitcoin (BTC) has approached $60,000 since Wall Street opened on September 13, while gold has hit an all-time high against the U.S. dollar.
BTC/USD 4-hour chart. Source: TradingView
BTC price rises towards key $60,000 mark
According to data from Cointelegraph Markets Pro and TradingView, BTC price action coincided with Bitstamp’s 10-day high.
Bitcoin extended a recovery that began before the weekly open, as the release of U.S. macroeconomic data gave the market confidence that the Federal Reserve would ease policy at its interest rate meeting next week.
U.S. stocks rose slightly on the day, while gold hit a record high against the U.S. dollar at $2,585 an ounce.
XAU/USD 4-hour chart. Source: TradingView
Popular trader and analyst Rekt Capital analyzed the 1-day timeframe and identified an encouraging bounce from the lower boundary of the descending BTC price channel.
He commented, along with an explanatory chart of X: “Good reaction so far. BTC is moving towards the daily close above the channel bottom (black).”
“A daily close above the channel bottom has enabled upside in the past. For a bullish weekly close, BTC needs to remain above $58150 by the end of the weekend.”
BTC/USD 1-day chart. Source: Rekt Capital/X
BTC/USD is down just 1% this month, which helps explain the unusual September price action, which usually sees losses of around 7% in September.
BTC/USD monthly returns (screenshot). Source: CoinGlass
“Bitcoin is following the forecast with a slow but consistent uptrend. That’s really good,” popular trader CrypNuevo added in a recent X update.
“The target is $58.8k liquidation and the wick is $59.5k.”
BTC/USD 1-hour chart. Source: CrypNuevo/X
Fellow trader Crypto Vikings noted that BTC/USD is on the verge of reclaiming the 200-period exponential moving average (EMA) on the 4-hour timeframe.
He predicted that the breakthrough would be “tremendous.”
BTC/USD chart. Source: Crypto Vikings/X
Bitcoin bulls join growing bets on Fed rate cuts
Bitcoin has thus shaken off the uncertainty that has accompanied US inflation data.
relevant: Bitcoin’s ‘Make or Break’ Moment Depends on $46,000 BTC Price Support – Research
The latest estimates from CME Group’s FedWatch tool show that the market is expecting a 0.25% rate cut on September 18. That’s down from the 0.5% cut on September 18, but down from earlier in the week.
Fed Target Rate Probability. Source: CME Group
The S&P 500, an example of positive risk-on sentiment, added nearly $2 trillion in value last week alone, according to trading information site Kobeishi Letter.
“Nvidia, NVDA is up more than 15% this week while the S&P 500 is just 1% away from a new all-time high,” he reported to his X followers.
“Is this the most resilient market ever?”
This article does not contain any investment advice or recommendations. All investment and trading moves involve risk, and readers should conduct their own research when making decisions.