Bitcoin (BTC) soars to 3-week high above $61,000 ahead of FOMC meeting

Bitcoin poured heavily on Monday, but bulls are back in control now as they fueled a massive rally that saw BTC hit a 3-week high above $61,000.

This comes at a particularly intriguing time, as the US Federal Reserve is expected to cut key interest rates tomorrow or the day after for the first time in years.

Bitcoin/Price/Chart 17.09.2024. Source: TradingView

The last time BTC traded this high was in mid-August, when its price dropped from over $62,000 to less than $59,000 in a matter of hours.

Today’s price surge came after a painful Monday in which the major cryptocurrency fell from around $60,000 to $57,600.

Most altcoins followed BTC on the rise. Ethereum has gained 4% overnight and is now trading near $2,400 after falling to $2,270 during yesterday’s pullback.

Binance Coin has touched $550 again, SOL is back at $135, while XRP is close to $0.6 after a daily increase of 3.8%.

The largest price increases in the top 100 highs came from TIA (15%), IMX (15%), TAO (13.6%), FTM (10%) and UNI (9%).

The total value of liquidated positions has increased to $123 million, according to CoinGlass, with BTC shorts taking center stage with $47 million. Over 42,000 merchants have been busted in the last day.

This is an important week for all financial markets as the US Federal Reserve will meet on September 18-19 to discuss possible interest rate cuts. We recall that the chairman of the Fed, Jerome Powell, said last month that the time has come for the US central bank to follow the example of the ECB, the Bank of England and the Bank of Canada.

Most experts believe the cut in US interest rates will be 0.25%, but some have argued for a more aggressive cut of 75 basis points.

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