"Everyone must like BTC to go up, but be careful because the price will suddenly drop."
The price of cryptocurrency king Bitcoin (BTC) climbed up to $43,543 as investors expect the Federal Reserve (Fed) to cut interest rates during the Federal Open Market Committee (FOMC) meeting on Thursday this week at 3 am.
Through observation, there is a 97.9% probability that the Fed will maintain a rate range of 5.25% to 5.50%, therefore investors are more interested in choosing risky assets such as BTC that managed to see a significant recovery.
Likely to be informed that analysts expect the fund manager to intensify its sales efforts as the sales force may become more adept at handling emerging products in addition to increasing institutional interest in BTC.
The institutional push coincided with reduced outflows from Grayscale Investments' spot BTC ETF, which they hinted at strengthening crypto market sentiment.
While the recent outflow from the Grayscale BTC ETF caused early investor concern, the trend is stabilizing as the broader market also closely watches how macroeconomic factors, particularly the Fed's policy decisions, can affect BTC's trajectory.
According to eToro analyst Callie Coz, interest rate cuts could potentially happen as early as March 2024, so such a move could reduce risk and provide an ecosystem conducive to BTC growth.
As of this writing, the price of BTC has jumped by 3.07% to $43,468 in the last 24 hours with a market cap of $853 billion and is up 9.55% over the last week.
