What is Driving the Price of Bitcoin Up Today?
The Bitcoin (BTC) price is up today, rising over 2.5% with a sharp upward candle that sent the price to a September high of over $27,400. The increase in the Bitcoin price today comes after a flat weekend where BTC held the key $26,000 level, giving confidence to traders and analysts who see this level…
Bitcoin (BTC) priceis up today, rising over 2.5% with a sharp upward candle that sent the price to a September high of over $27,400. The increase in the
Bitcoin pricetoday comes after a flat weekend where BTC held the key $26,000 level, giving confidence to traders and analysts who see this level as crucial.
Let’s look into the reasons why
CRO Crypto, and
Waves Cryptoare up today.
Annual Core CPI falls ahead of FOMC
According to the Sep. 13 Consumer Price Index (CPI) report, inflation rose 3.7% in August, higher than the 3.5% in July. More importantly, the annual core CPI model which measures all items minus food and energy showed more positive data. August annual core CPI came in at 4.3%, less than the previous month’s jump of 4.5%.
The potential that inflation may reach the United States Federal Reserve’s 2% targets is providing hope that interest rate increases will pause at the Federal Open Market Committee (FOMC) meeting on Sep. 20, an outcome that investors believe benefits risk-assets like Bitcoin.
According to CME Group, a derivatives marketplace with a global benchmark product that estimates interest rates, shows a high probability that the Fed will pause interest rate increases.
The graph points to a possible freeze in interest rate hikes. The public sentiment shows confidence in the pause and investors believe that this has created the possibility for a broad crypto market recovery, such as Voyager Crypto, Tectonic Crypto, Waves Crypto, Open AI, BTT Crypto, Chainlink Crypto, CRO Crypto, Crypto Mining, and Dogecoin Crypto.
Institutional interest in Bitcoin boosts market sentiment
The U.S. Court of Appeals Circuit Judge Neomi Rao’s ruling in favor of Grayscale Bitcoin Trust (GBTC) on Aug. 29 has sparked multiple large institutions to file for Bitcoin ETFs. This is in line with the growing institutional interest in Bitcoin from companies such as BlackRock and Fidelity Investments. Despite the SEC delaying the approval of BTC spot ETFs on Sep. 2, the $1.5 trillion asset manager Franklin Templeton filed for a spot Bitcoin ETF on Sep. 12.
So far, the SEC has not approved a spot Bitcoin ETF, even with applicants such as BlackRock, Fidelity, Cathie Wood’s ARK, and 21Shares, who have filed three times. The SEC’s next decision deadline is Oct. 16, but a postponement is likely.
The ai today, voyager crypto latest, tectonic crypto today, waves crypto, open ai, btt crypto, chainlink crypto, cro crypto, crypto mining, and crypto dogecoin markets have been especially impacted by this institutional interest in Bitcoin.
Bitcoin supply on exchanges keeps dropping
As Bitcoin’s price has been rising, the amount of BTC held on exchanges has been falling since Sep. 4, when the supply peaked. Over 40,000 Bitcoin have been withdrawn from crypto exchanges since then.
A decrease in the available Bitcoin on exchanges is generally seen as a bullish sign, as it reduces the potential for spot selling.
In the last 24 hours, $28.4 million worth of BTC shorts have been liquidated, with more than $27.9 million liquidated in a 12-hour period. Despite the losses incurred by short-sellers, half of the futures market is still betting on a fall in Bitcoin’s price, suggesting the possibility of a short-squeeze and even higher prices.
Meanwhile, Bitcoin’s price is showing some strength ahead of the FOMC meeting, although the Fear & Greed Index is still showing “fear” despite increasing from the previous month.
Crypto enthusiasts can collect this article as an NFT to commemorate this moment in history and to support independent journalism in the crypto space.