Bitcoin (BTC) shrugged off United States inflation signals on April 5 amid fresh excitement over future institutional investment.
Bitcoin shrugs off ebbing odds of Fed rate cut
Data from Cointelegraph Markets Pro and TradingView showed renewed BTC price support pushing BTC/USD to $68,630 after the Wall Street open.
Currently circling $68,000, Bitcoin appeared to gain in tandem with news that the world’s largest asset manager, BlackRock, had added major U.S. banks as participants in its spot Bitcoin exchange-traded fund (ETF).
The names listed in a filing shared online included Goldman Sachs, Citadel, UBS and Citigroup.
“Takeaway: big time firms now want piece of action and/or are now OK being publicly associated w this,” Eric Balchunas, a senior ETF analyst at Bloomberg Intelligence, wrote in part of a response on X.
Balchunas suggested that the developments were “likely a result of the ETFs’ mega-flows/success.”
As Cointelegraph reported, the nine newcomer products held over 500,000 BTC between them as of April 4, not including assets in the newly coverted ETF, the Grayscale Bitcoin Trust.
The BlackRock narrative served to protect BTC price action from the latest U.S. inflation signals.
These came in the form of above-expected employment data, suggesting that the Federal Reserve would have more room to keep interest rates higher for longer.
The latest data from CME Group’s FedWatch Tool showed the odds of a rate cut in 2024 being pushed back further toward the end of the year.
Chances of a June cut were at just over 50% at the time of writing, down 10% from earlier in the week.
“All bets are off” if BTC price breaks $69,000
Analyzing the market setup, popular trader Daan Crypto Trades noted sell-side liquidity being taken around the open.
Related: Bitcoin is hedge against ‘horrible’ gov’t fiscal policy — Cathie Wood
Further data from monitoring resource CoinGlass showed significant sellers lined up beyond $69,000 — still the focal point of current price action.
“Break $69,000 and all bets are off,” fellow trader Jelle continued in part of his own X analysis.
Jelle noted that BTC/USD had succeeded in forming a higher low on hourly timeframes, potentially setting the pair up for upside continuation.
This article does not contain investment advice or recommendations. Every investment and trading move involves risk, and readers should conduct their own research when making a decision.