Bitcoin at 150,000
The Fed's decision to cut interest rates will have a "strong impact" if BTC reaches 112,000 dollars
The Fed is expected to maintain interest rates this month, but a surprise cut could help push BTC to a new high, says Carlo Pruscino.
The U.S. Federal Reserve could raise the price of Bitcoin to 112,000 dollars if it cuts interest rates sooner than the market expects, according to an analyst.
"When these two new rate cuts occur, if they arrive much earlier than expected, that will have a significant impact on future price movements of Bitcoin and other cryptocurrencies," said Carlo Pruscino, market analyst at CMC Markets, to Cointelegraph.
"The upward target traders have in mind is 112,000 dollars for Bitcoin, which is the psychological level," Pruscino stated.
The Fed has "enough data," but there are still unknown factors at play
On May 22, Bitcoin reached a new all-time high of 111,970 dollars, but since then it has retreated to 102,766 dollars at the time of writing this article, according to CoinMarketCap.
However, market participants are confident that the Fed will keep interest rates steady in its next decision on June 18. According to CME's FedWatch Tool, 97.5% expect the rate to remain between 4.25% and 4.50%.