Analyst Predicts ‘The Start of Crypto’s Most Euphoric Period’ By Benzinga

Benzinga – by Aniket Verma, .

Major cryptocurrencies surged on Wednesday after days of corrective action, as favorable inflation data and the Federal Reserve’s rate pause boosted investment in risky markets.

What happened: Bitcoin surged to nearly $70,000 earlier today after the release of colder-than-expected consumer price data for May. However, the uptrend did not last long as Federal Reserve Chairman Jerome Powell noted that policymakers “want to gain more confidence” on inflation before considering interest rate cuts, dampening market enthusiasm.

In the last 24 hours, 65,003 traders were liquidated, totaling $194.73 million. Long liquidations represented 55% of the total. Bitcoin leads with over $52 million in total liquidations, followed by Ethereum at $49.63 million.

Despite this rise, Bitcoin’s open interest fell 0.86% over the past 24 hours, indicating short covering by sellers, generally interpreted as a bearish signal.

That said, Bitcoin’s Longs/Shorts ratio has increased significantly over the past 24 hours, suggesting the dominance of bullish leveraged bets.

The Cryptocurrency Fear and Greed Index read “Greed,” suggesting FOMO was still prevalent in the market.

Best winner (24 hours)

The global cryptocurrency market capitalization stands at $2.48 trillion, up 1.62% in the last 24 hours.

The main stock indices rose again on Wednesday. The broader index, S&P500, jumped 45.71 points, or 0.85%, to close at a record high of 5,421.03. Likewise, the technology sector Nasdaq100 rose 1.53% to finish at a record high of 17,608.44. THE Dow Jones Industrial Averageon the other hand, slipped by 0.09% to finish at 38,712.21.

The central bank kept interest rates unchanged as expected at the FOMC meeting.

The Fed’s stance follows the release of colder-than-expected consumer price data for May, bolstering prospects of a rate cut later in the year.

Learn more: Best Cryptocurrency Scanners

Analyst Ratings: A widely followed cryptocurrency trader who goes by a pseudonym mustachebrought attention to a significant Bitcoin exploit that has only happened three times before.

“It is about to leave the 0.5 line (MZ BTC Bottom-Indicator). In 2012, 2017 and 2020, it was the starting signal of the most euphoric period in crypto,” the trader said .

Everyone is watching the FOMC today, but did you know that $BTC is about to do something that has only happened three times in history?

It’s about to leave the 0.5 line

Fuente