Bitcoin (BTC) to follow US stock market all-time high
The post Bitcoin (BTC) to follow US stock market all-time high appeared on BitcoinEthereumNews.com.
After the Federal Reserve cut interest rates by 50 basis points, the markets rallied strongly on the event. The S&P 500 posted a new all-time high, and Bitcoin (BTC) surged more than $4,000. Will $BTC now follow U.S. stocks and make its own all-time high? Further potential growth across all markets After the first Federal Reserve rate cut in 4 years, markets have reacted with relief. The S&P 500 shot through $5,700, and the Nasdaq has improved 2.6%. At the same time, $BTC briefly touched $64,000 on Friday, before settling back under this resistance level. With potentially another three U.S. rate cuts before the end of the year, the scene is set for possible further growth across all markets. The S&P 500 is currently leading that growth, but $BTC, considered a more volatile risk asset, could outperform in this environment of loosening monetary policy. S&P 500 breaks out to new all-time highs Source: TradingView Looking at the weekly chart for the S&P 500, it can be noted that the price has been traversing inside of an ascending channel since October 2022, with only one dip out of the channel in October 2023. It can be seen that resistance has held the price at $5,639, at the 1.618 fibonacci since early July, but this week has seen a breakthrough of this level, and the price is taking hold above. $6,967 is a target now at the 2.618 fibonacci – a 22% rise from the current price. $BTC short term correction beginning? Source: TradingView The short term price action for $BTC suggests that the next correction could be beginning. Price has started to roll over, and although it’s early days, all short term Stochastic RSIs are at the top, signalling that a cross back down, bringing momentum to the downside, is potentially…
Filed under: News - @ September 20, 2024 9:29 am