Bitcoin Sags at $113K as S&P 500 Peaks Before Fed Rate Cut
Bitcoin traded around $113,000 after failing to sustain gains above $116,000. The cryptocurrency is in a volatile retest between key support at $111,000 and resistance at $116,000. Analysts note the 21-week EMA near $111,000 and the four-hour 200-period EMA at $113,100 as significant levels. A weekly close above $114,500 would confirm a successful retest.
High trading volume at $111,000 underscores market interest. Traders now focus on the Federal Reserve’s expected 25bp rate cut, widely viewed as a non-event since markets have priced it in. Meanwhile, the S&P 500 hit an all-time high, illustrating a divergence that reflects cautious sentiment in crypto markets ahead of the FOMC decision.
Neutral
In the short term, Bitcoin’s price action is range-bound between $111,000 and $116,000, reflecting a neutral consolidation rather than a clear bullish or bearish trend. The expected 25bp rate cut by the Federal Reserve is widely priced in, removing it as an immediate catalyst. Divergence with the S&P 500’s record highs further suggests muted momentum in crypto markets. Over the longer term, a weekly close above $114,500 and holds above key EMAs could trigger a bullish breakout, but until then, the lack of fresh drivers points to a neutral impact on BTC price.