A prominent cryptocurrency analyst predicts that Bitcoin (BTC) will soar to unprecedented levels following a reduction in interest rates by the Federal Reserve.
In his latest video update, crypto trader Benjamin Cowen shares with his 929,000 YouTube followers that easing monetary policy from the Fed could trigger a significant increase in the leading cryptocurrency by market capitalization.
“I believe that while a rate cut can positively impact markets as long as the broader economic conditions remain robust, it may not drop below the neutral rate. Consequently, I anticipate liquidity returning to Bitcoin, potentially pushing it towards new all-time highs.”
Cowen further emphasizes that Bitcoin might replicate its performance from 2017 and ignite a rally toward its theoretical peak in this market cycle.
“Back in 2017, Bitcoin experienced a decline to its 20-week simple moving average (SMA). It touched this level and then gradually climbed until late September. By October, Bitcoin had an explosive breakout reaching all-time highs.”
“This scenario could very well unfold again—Bitcoin may slowly ascend back towards previous highs before experiencing another parabolic surge or final push into what we consider the peak of this market cycle.”
The leading cryptocurrency is currently valued at $116,105 as of now. The next meeting of the Federal Open Market Committee (FOMC) is scheduled for September 16th.
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