For months Bitcoin and the shallow movements in altcoins have exhausted investors too much. It has also caused a weakening of risk appetite. On the other hand, we know from historical data that such long boring periods are coming to an end. A strong signal of a new upward movement may have come for cryptocurrencies. But why is the increase expected?
Interest Rate Cuts and Bitcoin
According to the Kobeissi Letter’s August 25 assessment, US money funds exceeded $6.2 trillion and reached an all-time record level. So what does this mean? Of course, it means that the expectation of an interest rate cut has strengthened. The statements made by Powell and Fed members indicate that the discounts that will provide lifeblood for cryptocurrencies will begin in September. A Prize Pool Worth 21 Million TL Awaits You from BinanceTR! Participating and winning has never been easier.. You can sign up to BinanceTR from this link. Get your first crypto!
In its latest assessment, Kobeissi Letter clearly wrote that the era of high interest rates is over;
“Most of the entries, Fed“It was driven by institutional investors who positioned their portfolios in anticipation of a rate cut by … The era of high interest rates is ending.”
According to the FedWatch tool, the expectation of a discount at the meeting to be held on September 18 is 100%. The expectation of a 25bp discount is 65.5%, while the 50bp discount estimate is at 34.5%. Popular crypto analyst Titan of Crypto also expects a new move to $68,000 for this reason.
“Bitcoin “Moving towards $68,000 target. BTC’s 18% rally continues.”
Bitcoin September Forecast
August was famous as a bearish month in previous years, but after a long period of weakness, investors still did not expect such a scenario. However, September presents a much more optimistic picture. At the same time, according to analyst Mikybull, investors can keep their hopes alive due to the $95,000 target setup on the weekly chart.
“Bitcoin “It looks ready for its final rise (wave 5). It has price targets of $95,000 and then $143,000.”
Friday BTC ETFThe ‘s saw net inflows of over $250 million and appetite among investors familiar with traditional markets supports the September motivation. However, despite the attempt in the last 24 hours, the $65,000 threshold has not been exceeded. This shows that profit-taking continues at higher levels, meaning that most investors are not yet fully convinced of the rise.
Disclaimer: The information contained in this article does not contain investment advice. Investors should be aware that cryptocurrencies carry high volatility and therefore risk, and should carry out their transactions in line with their own research.
