Key Reasons:
1. FOMC Meeting: Optimism from Powell’s Remarks
- Federal Reserve Chair Jerome Powell’s dovish tone in the FOMC meeting reassured investors.
- Powell indicated potential interest rate cuts in 2024, despite high inflation.
2. Coinbase Premium Turns Green: Demand for Spot ETFs
- The Coinbase Premium, which reflects demand for spot Bitcoin ETFs, shifted to positive territory.
- This suggests increased interest in Bitcoin ETFs, potentially fueling price growth.
3. Technical Breakout from Downtrend Channel
- Bitcoin’s price broke out of a downtrend channel, signaling a potential reversal.
- If the breakout holds, the price could continue to rise.
