Bitcoin Price Prediction: Fed Liquidity Turns Bullish as BTC Holds Near $78K

3 days ago 9

Rommie Analytics

Bitcoin is trading near the $78,000 level after a volatile week in the crypto market. The latest market data shows BTC holding a market cap of around $1.56 trillion, while daily momentum remains weak and technical ratings still lean cautious. However, a new macro signal is now getting attention: Fed liquidity may be turning supportive again.

For Bitcoin traders, this matters because liquidity has often played a major role in previous crypto cycles. When financial conditions tighten, risk assets usually struggle. When liquidity improves, Bitcoin and other crypto assets often become more attractive again, especially if investors start looking for higher-upside opportunities.

Now, with the Federal Reserve balance sheet showing signs of expansion after the end of quantitative tightening, the question is simple: could this be the liquidity shift Bitcoin needs for its next major move?

Bitcoin Price Holds Near $78K as Market Momentum Stays Mixed

Bitcoin is currently trading around $78,000, slightly lower over the past 24 hours. The move comes after BTC failed to hold stronger upside momentum above the $80,000 zone, keeping traders focused on whether the market is entering another correcti...

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