Bitcoin breaks through $61,000, posting its biggest intraday gain since early August

Original title: "Bitcoin breaks through $61,000, creating the largest intraday increase since early August"

Original source: BitpushNews

The day before the Federal Reserve's interest rate decision, the crypto market rose across the board.

Bitpush data shows that Bitcoin soared to $61,000 during trading on Tuesday, creating the largest intraday increase since August 8. Mainstream currencies such as Ethereum, Dogecoin and Solana also rose, with increases between 2% and 4%. As of press time, the trading price fell back to around $60,253, with a 24-hour increase of nearly 4%.

In terms of altcoins, most of the top 200 tokens by market value achieved increases. Dymension (DYM) had the largest increase, up 24.1%, followed by Immutable (IMX) and Celestia (TIA), up 15.6%. Trust Wallet Token (TWT) had the largest decrease, down 12.5%, Helium (HNT) fell 5.3%, and Theta Network (THETA) fell 1.7%.

The overall market value of cryptocurrencies is currently $2.08 trillion, and Bitcoin has a market share of 57.1%.

The three major U.S. stock indices rose and fell, with the Nasdaq closing up 0.2%, the Dow Jones closing down 0.12%, and the SP flat.

Eye on rate cuts

The crypto’s strong performance comes as market watchers are closely watching tomorrow’s Federal Open Market Committee (FOMC) meeting, where the Fed is expected to announce its first rate cut since 2020.

The fourth quarter will be positive for the crypto asset class, regardless of the rate cut, said Steven Lubka, head of Swan Private at Swan Bitcoin.

“Bitcoin’s price could rise if the Fed cuts by 50 basis points, but this could be offset if the market views it as an emergency move,” he said in a note. “A 25 basis point cut would create a more uncertain outcome, while no cut could lead to a short-term sell-off. Looking ahead to the fourth quarter of 2024, we expect Bitcoin to perform strongly, supported by improved liquidity conditions. In addition, the FTX bankruptcy is expected to return $16 billion to investors, providing them with liquidity to repurchase assets.”

According to CME's "Fed Watch", the probability of the Federal Reserve cutting interest rates by 25 basis points in September is 37.0%, and the probability of cutting interest rates by 50 basis points is 63.0%.

Bitcoin looks towards $90,000 in the next year

TradingView analyst TradingShot said: "Bitcoin strongly broke through the 1D MA50 today (blue trendline in the figure below) and slightly broke through the top of the triangle pattern since July (lower high trendline). After the second rebound from the 1W MA50 (red trendline) in just 1 month, buying pressure is strong. If the 1D candle closes above the lower high, we will receive a strong breakout buy signal for at least the rest of the year."

TradingShot said "In this case, we see an upward channel similar to the one before March 2024, which does have the potential to test the 6-month resistance zone before the US election, followed by a technical pullback before the election, and then resume the upward trend in the remaining year, with the target at least being the 2.0 Fibonacci extension level, or 90,000. USD."

Independent analyst Jelle said in a post on X on September 17: "Bitcoin local structure turned bullish again here, closing above the previous September high and locking in a higher low."

The recent high of Bitcoin mentioned by Jelle is $60,670, which was set on September 13, higher than the high of $59,830 on September 3. According to the analyst, this movement shows that the market is strong enough to overcome the resistance level of $65,000, saying: "From the BTC/USD 12-hour chart, it looks like a breakthrough of $65,000 is expected - and then a new all-time high."

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