Bitcoin Price Breaks $112,000 Resistance, Traders Eye New Local Highs
Bitcoin (BTC) has brought bullish volatility to the weekly close, rising through resistance at $112,000. This move has traders hoping for new local highs as the BTC price recovery continues. The US Federal Reserve is expected to cut interest rates again next week, which could further boost the cryptocurrency market.
Data from Cointelegraph Markets Pro and TradingView suggests that the weekend was marked by volatile BTC price action. A late rebound on Friday helped bulls rally to higher levels in the weekly range, helped by encouraging US inflation data. Now, market participants see the potential for new highs, with the weekly close typically seeing increased volatility.
$BTC / $USD – Update I keep my long position at over $108,200. A high of $113,000 is targeted next. pic.twitter.com/aXZtvseqtO
Trader Crypto Caesar observed the $112,000 resistance level being retested on the day. “A clean break and close above could confirm a continuation of the uptrend towards $123,000,” he wrote in a post on X.
Traders Eye New Highs as Bitcoin Price Recovers
Crypto investor and entrepreneur Ted Pillows had similar ideas. “$BTC appears to be in a short-term uptrend. 4 consecutive green daily candles, meaning someone here is constantly buying Bitcoin,” he told X Followers that day. “I’m still eyeing the $112,000-$114,000 area as a reclaim could push BTC above $118,000 very soon.”
Others were waiting in the wings, with the X-Analytics account named after famed economist Frank Fetter “waiting” for a $113,000 breakout. Last week, it added that this represents the current total cost basis for short-term Bitcoin holders – companies held for up to six months.
“If BTC can regain the short-term bearer cost base of $113,000, a move into the blue zone of $130,000-$144,00 will feel right,” it said.
Federal Reserve Interest Rate Cut Expected to Boost Risk Assets
Looking ahead, there will be another important event for crypto and venture asset investors in the coming week. The Federal Reserve was expected to cut interest rates by 0.25% at its Oct. 29 meeting after weaker-than-expected inflation numbers. According to data from CME Group’s FedWatch tool, the probability of this outcome was over 98% at the time of writing.
Commentary, Trade Resource The Kobeissi letter contextualized the Fed’s cuts as part of a global shift in interest rates by central banks. “So far, 82% of the world’s central banks have cut interest rates in the last six months, the highest proportion since 2020. This century, central banks have cut interest rates at a pace only seen in recessions,” said X. “The global easing of monetary policy is in full swing.”
This article does not contain any investment advice or recommendations. Every investment and trading activity involves risks and readers should conduct their own research when making their decision.
For more information, visit https://cointelegraph.com/news/bitcoin-price-starts-112k-breakout-fed-rate-cut-odds
