Today, Bitcoin broke the $100,000 barrier for the first time in months, trading at around $101,360 according to the latest data. This rise comes after a long period of sharp increases in the market, primarily due to the fact that the U.S. Federal Reserve decided to keep interest rates in the range of 4.25%–4.50%. But this decision was expected, yet it opened the door for new liquidity in the markets, resulting in Bitcoin rising by about 4% immediately after the announcement.
Trump also appeared on Truth Social and hinted at a major trade deal "with a 'respected and large' country," which everyone expects to be Britain. These statements created a sense of optimism in the market and revived risk appetite in both digital and traditional markets. Technically, Bitcoin broke through a very strong resistance level at $99,000 and formed a "rising triangle" pattern indicating strong upward momentum. Additionally, the "BTC Age Consumed" indicator dropped to record levels, meaning that long-term investors are holding onto their coins and are not planning to sell at current prices.
But we have to be careful because the RSI indicator says the market has entered the overbought zone, and the Wall Street Journal warned that the announcement might just be the beginning of negotiations, not a final agreement. Even though the Fed held interest rates, it mentioned the risks of stagflation and ruled out the idea of lowering interest rates anytime soon, which might make some investors reconsider their positions.
Regarding future expectations, if the positive momentum continues and we see steps like interest rate cuts or new trade agreements, we might see Bitcoin reach a new psychological level at $107,000. However, a study from BitMEX Research suggests that now might be the last chance for investors to sell Bitcoin before the market heads into new highs.
