---
title: "Bitcoin breaks through the $64,000 mark, will the Fed's hint at a rate cut usher in new highs?"
description: "Bitcoin (BTC) price surged, breaking through $50,000 and reaching a high of $87,900, as Federal Reserve Chairman Powell hinted at a possible rate cut, reigniting investor confidence. This round of inc"
type: "news"
locale: "en"
url: "https://longbridge.com/en/news/212595833.md"
published_at: "2024-08-27T01:09:15.000Z"
---

# Bitcoin breaks through the $64,000 mark, will the Fed's hint at a rate cut usher in new highs?

> Bitcoin (BTC) price surged, breaking through $50,000 and reaching a high of $87,900, as Federal Reserve Chairman Powell hinted at a possible rate cut, reigniting investor confidence. This round of increase was also supported by a $36 million inflow into Bitcoin ETF, indicating strong market demand. Analysts believe that a rate cut will lower borrowing costs, enhance liquidity, and drive investments in Bitcoin and high-risk assets. Powell's remarks may foreshadow a favorable trend for the crypto market, further propelling Bitcoin to new highs

Bitcoin (BTC), as the oldest and most valuable cryptocurrency in the world, continues to maintain its upward momentum, with the current trading price exceeding $64,500, reaching a high of $64,879 during the session. This bullish trend has reignited investors' optimism.

Previously, Bitcoin broke through the $64,000 mark following Federal Reserve Chairman Jerome Powell's speech at the Jackson Hole meeting. Powell hinted at a possible rate cut and emphasized the need for policy adjustments.

Powell expressed confidence in moving towards the Fed's 2% inflation target and hinted that it may be time to adjust monetary policy. However, the timing and pace of rate cuts will depend on future economic data and overall economic outlook.

Furthermore, Bitcoin ETF recorded a $36 million inflow on Friday, further driving up the price of BTC and boosting investor confidence. This inflow solidified the bullish momentum and demonstrated strong market demand.

## Bitcoin Breaks $64,500 as Powell Hints at Rate Cut

Federal Reserve Chairman Powell's speech at the Jackson Hole meeting sparked a significant rally in the crypto market.

Powell hinted at a rate cut and emphasized the need to adjust policies based on upcoming economic data.

This dovish expectation boosted investor confidence, helping Bitcoin rise nearly 5% yesterday, breaking through $63,000, and continuing to climb above $64,500 today.

The Fed has been raising rates since March 2022 to combat inflation, but Powell's hinted rate cut may signal a shift favorable to high-risk assets like Bitcoin.

Lower rates reduce borrowing costs, increase liquidity, and encourage investment in assets like cryptocurrencies.

Analysts at FRNT Financial believe that a weaker dollar and the expected rate cut could push Bitcoin to new highs.

-   Bitcoin's momentum strengthens, breaking $64,500.
    
-   Rate cuts may further drive the bullish trend in the crypto market.
    

## Bitcoin ETF Sees $252 Million Inflows, Ethereum ETF Continues Outflows

This week, the crypto ETF market showed a clear contrast between Bitcoin and Ethereum. Bitcoin ETF saw strong and steady inflows, recording growth for seven consecutive days.

At the beginning of the week, net inflows reached $62.1 million, led by BlackRock's IBIT and Fidelity's FBTC.

As of August 24, the total net inflows reached an impressive $252 million, with significant contributions from BlackRock, ARK 21Shares, and Grayscale Mini.

In contrast, Ethereum ETF faced continued outflows this week. At the start of the week, outflows amounted to $13.5 million, mainly due to Grayscale's ETHE losing $20.3 million, and this trend continued, resulting in significant net losses by the weekend

-   Bitcoin ETF funds inflow reached $252 million.
-   Ethereum ETF faces significant outflows.

This divergence highlights Bitcoin's strong position in the market, boosting investor confidence and driving its continued rise.

## Bitcoin targets $65,400, bullish momentum to strengthen above $63,500

Bitcoin (BTC/USD) shows promising signs of upward movement, as a Doji candlestick forms above the $63,500 level. This pattern suggests that bullish momentum may push prices towards $65,400 in the short term.

On the downside, immediate support is around $63,650, providing a safety net for potential short-term pullbacks.

Technical indicators further strengthen this optimistic outlook. The Relative Strength Index (RSI) is at 68, indicating strong buying pressure but has not entered overbought territory.

Additionally, the 50-day Exponential Moving Average (50 EMA) is at $63,200, providing a support baseline for continued growth. These indicators collectively point to ongoing bullish sentiment among traders.

Conclusion: Bitcoin is expected to maintain its bullish trend above $63,500. However, a break below this support level could lead to a short-term pullback

### Related Stocks

- [BRRR.US - CoinShares Bitcoin ETF](https://longbridge.com/en/quote/BRRR.US.md)
- [03439.HK - HGI BTC](https://longbridge.com/en/quote/03439.HK.md)
- [ARKB.US - ARK 21Shares Bitcoin ETF](https://longbridge.com/en/quote/ARKB.US.md)
- [FBTC.US - Fidelity Wise Origin Bitcoin Fund - ETF](https://longbridge.com/en/quote/FBTC.US.md)
- [BTCO.US - Invesco Galaxy Bitcoin ETF](https://longbridge.com/en/quote/BTCO.US.md)
- [03066.HK - FA CSOP BTC](https://longbridge.com/en/quote/03066.HK.md)
- [IBIT.US - iShares Bitcoin Trust ETF](https://longbridge.com/en/quote/IBIT.US.md)
- [HODL.US - VanEck Bitcoin ETF](https://longbridge.com/en/quote/HODL.US.md)
- [03042.HK - CAM BTC](https://longbridge.com/en/quote/03042.HK.md)
- [03135.HK - FA SAMSUNG BTC](https://longbridge.com/en/quote/03135.HK.md)

## Related News & Research

| Title | Description | URL |
|-------|-------------|-----|
| Steak 'n Shake credits Bitcoin strategy as driver of sales growth | Steak 'n Shake's Bitcoin experiment has evolved into a sales driver and a balance sheet strategy. | [Link](https://longbridge.com/en/news/276114408.md) |
| Coinbase CEO Says Crypto Exchange Is ‘Misunderstood’ | Coinbase CEO Brian Armstrong claims the cryptocurrency exchange is "misunderstood" by investors, citing Wall Street's un | [Link](https://longbridge.com/en/news/276453663.md) |
| Is Cipher Mining Inc. (CIFR) among the best bitcoin and blockchain stocks to invest in? | Cipher Mining Inc. (NASDAQ:CIFR) is recognized as one of the 11 Best Bitcoin and Blockchain Stocks to Invest in. The com | [Link](https://longbridge.com/en/news/276197343.md) |
| C2 Blockchain Grows DOG (Bitcoin) Treasury to 680.7 Million Tokens Amid Elevated Runes Network Activity | C2 Blockchain Inc. has increased its DOG (Bitcoin) holdings to 680.7 million tokens, reflecting a 1% growth. The company | [Link](https://longbridge.com/en/news/276444099.md) |
| Trump-Backed American Bitcoin Secures Spot In Elite Corporate Crypto Circle | American Bitcoin Corp, backed by Eric Trump, has amassed 6,039 BTC, ranking it among the top 20 corporate Bitcoin treasu | [Link](https://longbridge.com/en/news/276360652.md) |

---

> **Disclaimer**: This article is for reference only and does not constitute any investment advice.
