Bitcoin recovers to $90,000, driven by entry into ETF profit rights and expectations of interest rate cuts.

Source: TokenPost Original Title: Bitcoin($BTC) recovers to 90,000 dollars… Expectations of entering ETF profit rights and interest rate cuts drive the rebound. Original Link: Bitcoin ( $BTC ) has surpassed $90,000, entering the profit zone for ETF investors, and expectations of a rate cut by the U.S. have led to a market rebound.

This week, the cryptocurrency market has successfully broken a four-week downward trend and rebounded, providing some relief to investors. In particular, Bitcoin(BTC) recovered the psychological resistance level of $90,000(, approximately 132.19 million won), on Wednesday, reopening the opportunity for realized profits for ETF(exchange-traded fund) investors. Bitcoin ETF buyers surpassed the average purchase price of $89,600(, about 131.53 million won), meaning that funds that had been in a loss zone have now entered profit territory again.

Cathie Wood(, the CEO and Chief Investment Officer of ARK Invest, remains confident in the bullish trend of Bitcoin. Wood stated that she maintains her firm's forecast that Bitcoin will reach $1.5 million), approximately 2.2 billion won(. She analyzed that the liquidity of billions of dollars that could flow back in after the end of the U.S. federal government shutdown will support the price increase.

The background of this rebound was also influenced by changes in expectations regarding US interest rate policy. According to the CME FedWatch Tool of the Chicago Mercantile Exchange ), the probability of the Federal Reserve lowering interest rates by 0.25 percentage points at the meeting on December 10 has surged from 39% to 85% in just one week. Such expectations, reflecting the slowdown of the US economy and easing inflation, have stimulated a preference for risk assets and encouraged the inflow of funds into the cryptocurrency market.

As the cryptocurrency market, including Bitcoin, suggests a rebound, investors are likely to pay attention to central bank policy signals and global liquidity flows for the time being. In particular, the possibility of President Trump's re-election and the resulting economic policy uncertainties could add variables to market price formation in the long term.

Market Interpretation

Expectations of a U.S. interest rate cut have led to a rebound in the cryptocurrency market, including Bitcoin. The recovery in prices that has surpassed the average purchase price of ETF investors is expected to be a key turning point in determining direction between profit-taking pressure and expectations for further increases.

Strategic Points

Until the Federal Reserve meeting in December, a short-term trading strategy focusing on the possibility of interest rate cuts is valid. However, one should be cautious of the potential increase in profit-taking sales as prices exceed psychological highs.

Terminology Organization

• ETF: A fund that is listed on an exchange and traded like a stock. A Bitcoin ETF tracks the actual price of Bitcoin.
• FedWatch Tool: A tool that calculates the probability of interest rate cuts or hikes based on federal funds futures data provided by the CME Group.
• Liquidity: Refers to the degree to which an asset can be converted into cash, and inflow liquidity can stimulate asset price increases.