Bitcoin Nears $99K as Fed Cuts and ETF Flows Fuel Rally
Bitcoin is trading around $86,000 and aiming for $99K as Federal Reserve rate cuts become more likely amid rising US unemployment and soft inflation data. Fed officials, including New York Fed President John Williams, have signaled room for rate cuts, offsetting earlier hawkish remarks. These dovish cues, alongside resilient ETF flows, are supporting Bitcoin and wider crypto market sentiment.
After correcting from $80,000, Bitcoin shows oversold conditions that suggest a short-term bounce. However, profit-taking by institutional desks and flat ETF inflows could cap gains. Negative Coinbase Premium readings fueled recent selling pressure, while record stablecoin supply and falling exchange balances hint at latent buying power.
Upcoming PPI and CPI reports will be critical. Weaker readings may accelerate rate-cut expectations and boost liquidity into Bitcoin ETFs. Conversely, hotter data could stall momentum. Overall, fresh Fed signals and ETF dynamics will shape Bitcoin’s near-term rally and long-term trend.
Bullish
This news is bullish for Bitcoin. Fed officials signaling rate cuts increase liquidity prospects and support risk assets. Resilient ETF flows and on-chain indicators like record stablecoin supply suggest underlying buying power. Although profit-taking and flat inflows may limit upside, dovish Fed cues and improving market sentiment are likely to drive both a short-term rebound and a stronger long-term trend.