BTC price hit a new all-time high near $77,000 amid concerns of ‘long-term pressure’.

Bitcoin (BTC) hit $76,000 on November 8 as ‘high leverage liquidity’ was formed around the spot price.

Bitcoin embraces Fed interest rate cut with trip to $77,000.

According to data from Cointelegraph Markets Pro and TradingView, BTC price showed a slight upward trend that was mostly maintained after the daily close.

This followed a similar path to the previous day, with Bitstamp hitting a new all-time high of just under $77,000 during the Wall Street trading session.

This volatility came as the US Federal Reserve (Fed) cut interest rates by 0.25%, as expected.

After the recent Federal Open Market Committee (FOMC) meeting, Federal Reserve Chairman Jerome Powell described the risks affecting dual inflation and employment regulations as “nearly balanced.”

“Recent indicators show that economic activity continues to expand at a robust pace. “Labor market conditions have generally eased since the beginning of this year, and unemployment has risen but remains low,” he summarized in a prepared speech.

“Inflation has made progress towards the Committee’s 2% target but remains somewhat elevated.”

As Cointelegraph reported, the market was unconcerned about the Fed’s actions. Data from the CME Group FedWatch tool on November 8 showed that an additional 0.25% cut was agreed upon at the next FOMC meeting in mid-December.

Commentary, Trading Resources Kobeissi Letter argued that the Fed’s “focus” on interest rates could still be at risk if long-term inflation trends return.

“Ultimately, we expect to follow long-term inflation expectations that have not yet risen higher,” he wrote in a thread dedicated to X.

“However, if this starts to rise, currently sitting at 2.1%, we believe the ‘Fed pivot’ will be at risk. This is a big IF, but heading into 2025, anything is possible.”

Risk of BTC price pressure due to “highly leveraged liquidity”

Meanwhile, Bitcoin showed few signs of concern over macroeconomic details, hitting new all-time highs and breaking new record highs on a daily close basis.

relevant: Bitcoin Could Go ‘Parabolic’ as BTC Price Closes Above $71.5K Weekly — Analysis

BTC/USD is up 8% monthly at the time of this writing, bringing the fourth-quarter gain to 19.6%, as calculated by monitoring resource CoinGlass.

CoinGlass data also showed significant liquidity building on both sides of the spot price on exchange order books.

The platform responded with “highly leveraged liquidity” for account X, suggesting that not trading would be the “best strategy” in the current situation.

Popular trading account CryptoMutant discussed the change in liquidity, predicting: “We expect some pumping before this overheated market corrects.”

“The 72,600 level needs to be maintained to maintain positive sentiment in case a correction occurs.”

Fellow trader CrypNuevo saw the potential for a “long squeeze,” a series of long BTC liquidations before the weekly close.

This article does not contain investment advice or recommendations. All investment and trading activities involve risk and readers should conduct their own research when making any decisions.