Bitcoin (BTC) Price: Dollar Weakness Fuels Fresh Rally Above $107,000
TLDR
Bitcoin has recovered from weekend lows near $98,000 and is now trading above $107,000
Short-term holder floor price is rising toward $100,000, providing stronger support levels
Dollar index has fallen to lowest level since February 2022, creating favorable conditions for Bitcoin
Nvidia shares hit record highs with strong correlation to Bitcoin movements
Traders are pricing in potential Fed rate cuts amid weak economic data
Bitcoin has staged a recovery from weekend lows, climbing back above $107,000 after briefly touching $98,000. The cryptocurrency has gained nearly 10% from its recent bottom.
On-chain data shows the short-term holder realized price for Bitcoin is approaching $100,000. This metric represents the average price paid by investors who have held Bitcoin for less than 155 days.
The short-term holder realized price currently sits around $98,000. This level acts as a key support zone for Bitcoin’s price action.
Source: CryptoQuant
When Bitcoin trades above this level, newer investors remain profitable. This typically reduces selling pressure and supports upward price movement.
The premium between Bitcoin’s current price and the short-term holder realized price is around 7.2%. Historically, premiums under 10% have preceded further price gains.
Traditional Markets Support Bitcoin Rally
The dollar index has dropped to 97.27, its lowest level since February 2022. This decline follows growing expectations for Federal Reserve rate cuts.
Recent economic data has been weak. Housing data disappointed and consumer confidence fell to 93 in the latest reading. The consumer expectations index dropped to 69, below the 80 threshold that often signals recession.
A weakening dollar typically benefits Bitcoin and other risk assets. Lower dollar values ease global financial conditions and encourage investment in alternative assets.
Nvidia shares hit a record high of $154.30, gaining 4.33% on Wednesday. The stock has maintained a strong correlation with Bitcoin over the past 90 days.
Rate Cut Expectations Build
Interest rate swaps are pricing in about four basis points of easing at the July Fed meeting. This represents an increase from near zero a week ago.
JUST IN 🚨: The odds of an interest rate cut by the September FOMC now stand at 88% 🥳🫂 pic.twitter.com/DHuUOWSCE4
— Barchart (@Barchart) June 25, 2025
Traders now expect 60 basis points of total easing over the remaining four Fed meetings this year. This is up from 45 basis points expected a week ago.
The two-year Treasury yield has fallen to 3.76%, its lowest level since May 2. The 10-year yield has declined to 4.27%.
The yield curve has steepened as shorter-term rates fall faster than longer-term rates. This pattern has historically preceded recessions when combined with further two-year yield declines.
Oil prices have also declined, adding to deflationary pressures that could prompt Fed action. These factors combine to create a supportive environment for Bitcoin.
At press time, Bitcoin trades at $107,711, representing a 2.1% gain over the past 24 hours.
The post Bitcoin (BTC) Price: Dollar Weakness Fuels Fresh Rally Above $107,000 appeared first on CoinCentral.
Filed under: News - @ June 26, 2025 10:27 am