Bitcoin Price Eyes $117K After Fed-Driven Bounce at $110K
Bitcoin price retraced from a fresh all-time high above $124K after the Federal Reserve signaled a potential interest rate cut. The market found support at $110K, aligning with the 100-day moving average. On the daily chart, Bitcoin price broke below its long-term ascending channel, and the RSI sits near 50, indicating neutral momentum. A rebound above the lower channel boundary could push prices toward $130K. Otherwise, a deeper decline to the 200-day moving average near $100K remains possible. On the 4-hour chart, Bitcoin price jumped to $117K resistance after touching the $112K support level. Positive funding rates in the derivatives market suggest a bullish bias. However, if key supports fail, a liquidation cascade could drive Bitcoin price down sharply.
Bullish
The news highlights a strong Fed-driven catalyst that has reinforced Bitcoin price support at $110K, a key technical level tied to the 100-day moving average. Historically, Federal Reserve signals about interest rate cuts have triggered bullish momentum in risk assets, including Bitcoin. The rebound toward the $117K resistance zone suggests renewed buying pressure, while positive funding rates in the derivatives market confirm that traders remain positioned for upside. In the short term, a successful breach of the $117K barrier could accelerate a rally to $130K or beyond, echoing past breakouts that led to swift gains. Over the long term, maintaining support above major moving averages and re-entering the ascending channel would validate the broader uptrend. Although a downside breach could provoke liquidations and a pullback to $100K, the current technical setup and market sentiment lean toward continued bullish momentum.