As the overall market continues to move sideways, Bitcoin (BTC) is attempting to reclaim its local range highs as support. After short-term volatility, fueled by the Federal Reserve’s (Fed) rate cut, the cryptocurrency could be poised to close the month on a positive note.
Last week, BTC recovered from the early September dip, breaking out of the crucial $114,000 level and turning it into support during the weekend. As a result, the cryptocurrency currently has a positive return of 6.35%, its second-best September, according to the analytics platform.
Overall, BTC needs to retest and hold $114k as support on the Weekly and any downside volatility below it would likely end up as a wick by the end of the week with the new Weekly Close.
Multiple market watchers anticipated some volatility in the short term, as the Federal Reserve was expected to announce its first interest rate cut of the year. Altcoin Sherpa affirmed that “25bps is the expectation here” as “25 bps = Business as Usual but UP.”
BTC retested the $114,000 support and $116,000 resistance immediately after the announcement, before stabilizing around the $115,500 level.
