• The Federal Reserve is set to implement a 25bps rate hike following strong economic data.
• Bitcoin jumped to over $31,200 after a whale outflow from Huobi.
• This has led many to speculate whether the bear market is nearing an end, with some leveraged Bitcoin bets at risk of liquidation.
Federal Reserve Set To Increase Rates
The Federal Reserve is set to implement a 25 basis point (bps) rate hike following strong economic data. This increase in interest rates indicates that the economy is performing better and may indicate further economic growth in the future.
Bitcoin Jumps To Over $31K
Bitcoin jumped significantly today, reaching over $31,200 after a whale outflow from Huobi saw almost 7,500 Bitcoin leave the exchange. This has caused many investors to speculate whether this could signify the end of the bear market and suggests that there could be more positive news around Bitcoin in the near future.
Cluster Of Leveraged Bets At Risk Of Liquidation
The rise in price of Bitcoin also brings attention to large clusters of leveraged Bitcoin bets which are now at risk of liquidation due to increased volatility. These bets must be carefully monitored as they can have significant impacts on both short term and long term prices of cryptocurrencies like Bitcoin.
Data Via Glassnode
Data for this article was sourced from Glassnode, which provides insight into on-chain activity and network metrics for various cryptocurrencies such as Bitcoin. The data provided by Glassnode helps investors make more informed decisions when trading digital assets like Bitcoin.
Conclusion
As we have seen in this article, there are many factors impacting both short and long-term prices of cryptocurrencies like Bitcoin; however, it remains unclear how these will play out over time. It will likely take further analysis before we can definitively determine whether or not this recent surge in price signals the start of a new bull run or if it’s just a temporary blip on the radar.