Bitcoin Eyes $113K as Traders Anticipate FOMC Rate Cut
This past week, Bitcoin (BTC) showed heightened volatility, surging from $107,000 to a weekly high of $113,350 before settling just below $113,000. On Friday, BTC spiked to $111,500 then plunged to $107,500 in hours. Bulls regained control Tuesday, pushing prices above $111,000, followed by a brief dip to $109,500. Anticipation of the mid-September FOMC meeting and a likely Federal Reserve rate cut has traders bracing for further crypto market volatility.
Weekly market data shows BTC at $112,650 (+2.2%), ETH at $4,430 (+1.9%), and XRP at $2.86 (-0.6%), with total market capitalization at $3.97 trillion. Altcoins BCH and POL posted double-digit gains, while CRO declined 11% following its prior rally.
Institutional accumulation continues: MicroStrategy spent $450 million on 4,048 BTC, and Bitmine acquired 14,665 ETH amid bullish forecasts. Additionally, American Bitcoin (ABTC) debuted on Nasdaq, and the SEC and CFTC jointly affirmed that registered venues can list spot crypto products. Traders should monitor Fed developments and market reactions closely.
Bullish
The expectation of an FOMC rate cut typically boosts liquidity and risk appetite, benefiting Bitcoin price. Recent price action—with BTC recovering from intraday lows to a weekly high near $113,350—and continued institutional accumulation signal bullish momentum. Regulatory clarity from the SEC and CFTC joint statement further supports market confidence. Historically, past Fed easing cycles (e.g., 2023) coincided with crypto rallies. In the short term, volatility may persist around Fed announcements, but the overall trend remains upward as lower interest rates favor risk assets.