CryptoQuant Sees Path to $112,000 for Bitcoin Amid Fed Decision

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Bitcoin’s recent price recovery could accelerate in the near future, contingent on a shift in tone from the Federal Reserve. Analysis from on-chain analytics firm CryptoQuant suggests that a dovish pivot could pave the way for a rally toward $112,000, provided key technical hurdles are overcome.

The firm emphasizes that Bitcoin must first surpass two critical resistance levels. “Bitcoin would have to clear $99,000 and $102,000 levels first,” stated CryptoQuant head of research Julio Moreno. He identified these prices as essential barriers for any sustained upward movement.

A supportive Fed outcome, according to Moreno, extends beyond a single rate cut. It includes the central bank’s guidance on the future pace of policy easing and its inflation outlook. Should the signals align positively, Bitcoin could initially test the $99,000 level, where subsequent trader behavior will be decisive.

A Wednesday report from CryptoQuant detailed the specific resistance markers. The $99,000 level represents the lower band of the Trader On-chain Realized Price, a known resistance area. Beyond that, the key hurdles are the one-year moving average at $102,000 and the Trader On-chain Realized Price at $112,000.

Market anticipation is focused on the Fed’s afternoon decision, with a quarter-point cut widely expected. However, the greater uncertainty, and potential market catalyst, lies in the projections for rate movements in the coming year.