Bitcoin price surged above $94,000 today following a 25-basis-point rate cut by the Federal Reserve.
The Fed lowered its benchmark interest rate to 3.50%–3.75% to support maximum employment and contain somewhat elevated inflation amid moderate economic growth and slowing job gains.
This is the Fed’s third rate cut this year and the first since October. Most officials backed the move, while three dissented — one favoring a larger cut, two preferring no change.
Fed forecasts for 2026 and 2027 remain modest, with expectations for small rate reductions, 4.4% unemployment, and 2.4% PCE inflation.
The rate decision pushed the Bitcoin price higher, although markets had largely priced in the cut. BTC briefly hit $94,500, reaching a seven-day high.
Trading volume over the last 24 hours totaled roughly $46 billion. The cryptocurrency’s market cap stands near $1.86 trillion, with a circulating supply of just under 20 million BTC, according to Bitcoin Magazine Pro data.
Bitcoin’s recent rally reflects broader adoption trends and institutional interest. PNC Bank became the first major U.S. bank to offer direct spot bitcoin trading to eligible Private Bank clients using Coinbase’s infrastructure.
Last week, Bank of America advised its wealth management clients to allocate 1%–4% of portfolios to digital assets.
Coinbase Institutional highlighted that speculative leverage has fallen from 10% to 4%–5% of total market capitalization, signaling a potential end to extreme volatility. Ark Invest CEO Cathie Wood suggested the market may have already seen its four-year cycle lows.
The Fed’s decision came amid mixed signals from broader financial markets. The 10-year Treasury yield has risen, reflecting investor concern that easing policy now could spur inflation later.
At the time of writing, Bitcoin trades around $92,505, up roughly 3% in the last 24 hours.
Bitcoin price analysis
Last week, Bitcoin price saw a volatile ride, dipping to $84,000 before bulls pushed it up to $94,000, then dropping slightly below $88,000, and closing the week at $90,429.
The market now faces key support at $87,200 and $84,000, with deeper support zones around $72,000–$68,000 and $57,700.
Resistance levels stand at $94,000, $101,000, $104,000, and a thick zone between $107,000–$110,000, with momentum likely slowing above $96,000.
Typically, rate cuts lead to bullish momentum, but the market may have already priced in this month’s rate cut.
Bitcoin is down close to 25% from its all-time highs.