Bitcoin smashed through the $85K barrier, reaching a 24-hour high of $87,443 as traders celebrated the Federal Reserve‘s decision to keep interest rates steady. The world’s largest cryptocurrency is currently trading at $85,651.67, up 3.23% in the last 24 hours. Not too shabby for a “magic internet money” that critics have declared dead hundreds of times.
Bitcoin demolishes another milestone as critics eat their words and the Fed keeps the money printers warm.
The surge comes after the Fed maintained interest rates between 4.25% and 4.50%, with projections pointing to two 50-basis-point cuts in 2025. Wall Street loves nothing more than cheap money. Bitcoin ETFs capitalized on the improved sentiment, raking in $512 million over three days leading up to the Fed’s announcement. After weeks of outflows, that’s quite the reversal.
The broader crypto market is enjoying the party too. Total market cap jumped 3.39% to $2.81 trillion, with trading volume exploding by 45.34% to $104.4 billion. Bitcoin dominance sits at 60.61%, showing its continued stranglehold on the market. This dominance reflects Bitcoin’s massive market capitalization of $1.69 trillion, making it by far the largest player in the cryptocurrency ecosystem.
Altcoins aren’t sitting on the sidelines. Ethereum climbed 4.1% to $2,018.12, while XRP surged 7.3% to $2.4599. Even the meme coins got a piece of the action – Dogecoin up 4.1% and the Trump-themed token adding 3.6%. The whole market’s green. Who would’ve thought?
Technical indicators suggest Bitcoin could rally further, with analysts identifying support at $77,000 and resistance at $89,000. The recent buying activity from large investors who acquired over 22,000 BTC in just three days demonstrates growing institutional confidence. Unlike traditional currencies, Bitcoin has a fixed supply cap of 21 million coins, making it inherently resistant to inflation. Some predict prices could reach a mind-boggling $111,536.16 by July 2025. Of course, they said that about $100K in 2021 too.
The Trump administration’s pro-crypto stance isn’t hurting either. An executive order establishing a US Strategic Bitcoin Reserve, dropping the Ripple case, and nominating crypto-friendly officials to the SEC are changing the regulatory landscape dramatically.
For now, the bulls are firmly in control. But as every crypto veteran knows, what goes up must… well, you know the rest.
