Why is Bitcoin price up today?
Bitcoin's price has increased by approximately 2.5%, trading around $105,000 as of January 30, following the U.S. Federal Reserve's decision to keep interest rates unchanged at 4.25% to 4.5%. Initially, Bitcoin dropped to $101,288 after the announcement, but recovered as Fed Chair Jerome Powell clarified that changes in inflation language did not signal future policy changes. This recovery was bolstered by significant liquidations of short positions, amounting to $43.37 million, indicating strong bullish pressure. Additionally, there has been a notable inflow into Bitcoin ETFs, recording $4.3 billion over the past ten days, reflecting growing institutional interest. Technically, Bitcoin has formed a cup-and-handle pattern that could target a price of $125,000 if it breaks key resistance levels. Analysts suggest that a decisive move above $106,359 would further strengthen bullish momentum.
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