Bitcoin surged to $70K despite mixed community sentiment. Some viewed the drop as an inflation-driven decline. The rebound coincides with President Joe Biden’s hope for a Fed interest rate reduction in the current year. In a press conference, Biden stated, “I do stand by my prediction that before the year is out, there’ll be a rate cut. This may delay it a month or so; I’m not sure of that.”
He further added, “We don’t know what the Fed is going to do for certain, but look, we have dramatically reduced inflation from 9% down to close to 3%. Biden’s comments came after the US Bureau of Labor Statistics recently released the CPI report, showing inflation holding at 3.5% in March.
On the other hand, meme coins have continued to benefit from trader profit distribution, emerging as one of the competing altcoins in the past week. This aligns with the broader market outlook, where speculative asset growth has been a key theme this year. However, the prominent data platform Santiment has voiced a note of caution.
If history is any indicator, pumps that are geared toward projects with minimal development can be a red flag, indicating that cryptocurrency is nearing the top. That being said, the timing of OG meme coin DOGE, Trump-themed crypto TRUMP, AIDOGE, SPX, and others surging in market cap growth may not necessarily mean that the rally is ending. Especially with the BTC halving, a historically bullish event is now less than nine days away.
Bitcoin Eyes $85.6K After Multiple Retests
Market analysts are optimistic as the BTC price has surpassed the all-time high of the previous cycle. Bitcoin’s price has been testing the $71,000 level multiple times within a short period, suggesting significant price action around this level. It points to the token’s resilience and potential bullish sentiment in the market, as the price keeps returning to test this high level.
On the other hand, leverage traders, who often look for significant price movements to capitalize on, are not expecting BTC to break out beyond its current levels, perhaps due to the repeated failure to sustain above $71,000 or other market indicators. Despite this sentiment among leverage traders, market expert Steph points out that the current resistance zone for Bitcoin in the 4-hour timeframe is between $72.7K and $73.7K. Bullish Price Target: $85.6k.
