Following yesterday's Federal Reserve meeting, where the central bank ran out of strong arguments to keep interest rates high, Bitcoin and Ethereum have resumed their bullish movement. Despite the Fed's stated commitment to tight monetary policy due to inflation, the anticipated economic slowdown will eventually force a policy shift. The crypto market reacted immediately, surging in response.

Investors see a signal to reignite risk appetite

Weary from uncertainty and high interest rates, investors took the subtle hints of policy easing as a green light to return to risk assets, particularly cryptocurrencies. As a result, during Asian trading today, Bitcoin briefly hit $88,000, clearly targeting a return above $90,000.

Trump's crypto conference speech: a market catalyst?

A key event to watch today will be Donald Trump's speech at the Digital Asset Summit, marking the first time the US president has spoken at a crypto conference. Traders will be closely analyzing every word, looking for clues about the future direction of the administration's crypto policies. A positive stance could trigger an explosive rally in the crypto market. On the other hand, negative rhetoric might cause short-term panic and correction. Beyond immediate price movements, Trump's speech could set the tone for future regulatory actions, making it a pivotal moment for digital assets.

Bitcoin halving cycle: historical perspective

Recent data shows that the current Bitcoin halving cycle is 23% complete. In 2020, this level coincided with a cyclical market peak, raising speculation about a possible repeat of that scenario. However, in 2013 and 2017, when BTC was less known and market capitalization was much lower, this level preceded a major bull run. This suggests that the current market setup could be a precursor to a powerful uptrend, potentially surprising even the most experienced traders.

Bitcoin technical outlook

Buyers are targeting a move back to $87,000, a key level that opens the way to $89,400, with $91,400 just within reach. The ultimate target is $93,900—a breakout above this level would confirm a return to a mid-term bull market. In case of a decline, strong buying interest is expected at $85,000. A drop below this level could push BTC down to $83,200, with an extended target at $81,500.

Ethereum technical outlook

A firm hold above $2,043 clears the path to $2,082. The ultimate target is $2,128—a breakout above this level would signal a mid-term bullish trend. If ETH pulls back, buyers are expected to step in at $1,989. A break below this level could send ETH down to $1,954, with a further downside target of $1,909.