Bitget App
Trade smarter
Buy cryptoMarketsTradeFuturesEarnWeb3SquareMore
Trade
Spot
Buy and sell crypto with ease
Margin
Amplify your capital and maximize fund efficiency
Onchain
Going Onchain, without going Onchain!
Convert & block trade
Convert crypto with one click and zero fees
Explore
Launchhub
Gain the edge early and start winning
Copy
Copy elite trader with one click
Bots
Simple, fast, and reliable AI trading bot
Trade
USDT-M Futures
Futures settled in USDT
USDC-M Futures
Futures settled in USDC
Coin-M Futures
Futures settled in cryptocurrencies
Explore
Futures guide
A beginner-to-advanced journey in futures trading
Futures promotions
Generous rewards await
Overview
A variety of products to grow your assets
Simple Earn
Deposit and withdraw anytime to earn flexible returns with zero risk
On-chain Earn
Earn profits daily without risking principal
Structured Earn
Robust financial innovation to navigate market swings
VIP and Wealth Management
Premium services for smart wealth management
Loans
Flexible borrowing with high fund security
Three Reasons Why the Bitcoin (BTC) Price Rally Might Continue in the Short Term

Three Reasons Why the Bitcoin (BTC) Price Rally Might Continue in the Short Term

CryptopotatoCryptopotato2024/01/30 20:55
By:Dimitar DzhondzhorovMore posts by this author

Check out why Bitcoin’s latest price jump might be the beginning of a major rally.

TL;DR

  • Bitcoin’s price has increased significantly, with some indicators suggesting a continuation of this upswing.
  • The upcoming Federal Open Market Committee (FOMC) meeting and expectations around the Fed’s interest rate decisions are poised to impact Bitcoin’s value, with experts predicting potential bullish outcomes.

Bitcoin has recently caught the green wave of the cryptocurrency market, with its price rising to a three-week high of almost $44,000. In the following lines, we will explore some important metrics and upcoming events that hint the uptrend might carry on in the following days.

According to CryptoQuant, Bitcoin exchange netflow has been predominantly negative in the past week, charting a massive red candle today (January 30).  Shifting  from centralized exchanges toward self-custody methods is considered bullish since it reduces the immediate selling pressure.

In addition, data  shows  that BTC’s open interest has been on the rise since January 23, currently standing at over $10.5 billion. The development has historically influenced enhanced volatility for the asset in the short term.

Last but not least, the price of the primary cryptocurrency could be positively impacted by the Federal Open Market Committee (FOMC) meeting scheduled for this week. The US central bank is expected to keep interest rates unchanged at 5.25%-5.50% or even start pivoting on its aggressive anti-inflationary politics.

Recall that its actions have resulted in severe volatility for Bitcoin over the past few years. The asset’s value has dipped numerous times following rate hikes or has headed north  when there were no amendments to the benchmark.

Multiple experts, including Fundstrat’s Tom Lee, have argued that the Fed is done lifting the interest rates for this cycle. Others, like the former White House official Anthony Scaramucci and the CEO of Galaxy Digital  Mike Novogratz , believe the end of that policy would be a major bullish factor for BTC.

0

Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.

PoolX: Earn new token airdrops
Lock your assets and earn 10%+ APR
Lock now!