Bitcoin Price Prediction: Will Year-End Rally Lift BTC To $56k?
The cryptocurrency market is back in the green after several days of doldrums, which Bitcoin (BTC) price used to consolidate the gains and collect more liquidity. Investors also took the opportunity to accumulate more BTC with the dips to the support at $33,000 ahead of the next bull run.
Bitcoin Price Wakes Up Post FOMC
It appears that the decision by the United States Federal Reserve to leave interest rates unchanged between 5.25% and 5.5% on Wednesday affirmed the positive outlook in the market since October.
Jerome Powell, the Fed chairman reiterated that the bank is “strongly committed” to bringing down inflation.
“Recent indicators suggest that economic activity has been expanding at a strong pace – well above earlier expectations,” Powell said during the meeting.
The majority of the committee members believe that there is a need for another rate hike before the year ends while keeping a tight monetary policy in the foreseeable future.
Bitcoin price resumed the uptrend following the FOMC meeting, rallying above $35,000 to trade at a new yearly high. Up 3.3% in the last 24 hours, BTC is trading at $35,383.
Altcoins like Ethereum, Cardano, and Solana followed suit, bringing to life their uptrends to trade 2.1%, 7.8%, and 13.2%, respectively higher on the day.
Is The Bear Market Behind Us?
Bitcoin upholds support above $35,000 allowing for consolidation to take place ahead of another macro uptrend. According to trader and analyst, Rekt Capital, as long as Bitcoin stays above support at $34,800, the next target lies between $36,500 and $37,000.
He is of the opinion that “the bear market is behind us” and predicts that projects in the decentralized finance (DeFi) sector could soon begin to rally.
