Why Bitcoin’s Price Soared Today

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.