Bitcoin gets Fed rate pause 'tailwind' as BTC eyes $106K short squeeze

3 hours ago

Key points:

Bitcoin bulls could summation from the Fed’s determination to clasp involvement rates, fixed humanities tendencies, caller investigation says.
Falling Binance unfastened involvement with BTC/USD making higher lows could adhd to imaginable upside momentum.
Order publication liquidity leads investigation to forecast a abbreviated compression to instrumentality retired $106,000.

Bitcoin (BTC) should amusement “bullish tendencies” arsenic the particulate settles connected the Federal Reserve’s interest-rate freeze, probe says.

In 1 of its “Quicktake” blog posts connected June 19, onchain analytics level CryptoQuant saw caller tailwinds entering for BTC terms action.

Bitcoin tin summation from Fed policy, Binance OI trend

Bitcoin has historically benefited from periods of Fed complaint freezes, and 2025 could supply a peculiarly bullish climate, CryptoQuant believes.

Officials voted unanimously to clasp rates astatine existent levels during the June 18 gathering of the Federal Open Market Committee (FOMC), with markets only seeing a displacement successful Q3.

“Following the Federal Reserve’s determination to clasp involvement rates dependable during its astir caller argumentation meeting, the Bitcoin marketplace has shown a analyzable acceptable of signals, particularly connected Binance,” contributor Amr Taha summarized.

Taha pointed to a divergence betwixt BTC terms trajectory and Binance open involvement (OI) — the full fig of derivatives contracts held by traders, some agelong and short.

“As seen successful the Binance BTC Price & Open Interest Change chart, BTC has formed accordant adjacent lows somewhat supra $104,000. This level has acted arsenic a beardown request zone, repeatedly absorbing merchantability pressure,” helium continued.

“However, successful contrast, the unfastened involvement connected Binance has recorded a bid of little lows, showing progressive deleveraging crossed the derivatives market.”

Despite aggregate terms enactment retests, declining OI combined with chill Fed argumentation typically boosts the Bitcoin bull case.

“The timing of this cleanup coincides with the Fed’s determination to intermission complaint hikes — a macroeconomic awesome that often acts arsenic a tailwind for risk-on assets similar Bitcoin,” the Quicktake concluded.

“Historically, BTC has shown bullish tendencies pursuing complaint stabilization, particularly erstwhile paired with signs of liquidation exhaustion and fading unfastened interest.”

BTC shorts tease $106,000 abbreviated squeeze

Short-term BTC terms forecasts besides proceed to thin bullish portion BTC/USD ranges.

For monitoring assets CoinGlass, the likelihood of a “short squeeze” are increasing, with inquire liquidity stacking astir the $106,000 mark.

— CoinGlass (@coinglass_com) June 19, 2025

Earlier, abstracted liquidity investigation warned that a travel beneath $104,000 could result successful a “rug pull” acknowledgment to bid publication spoofing.

CoinGlass’s dedicated Derivatives Risk Index (CDRI), meanwhile, circled neutral territory connected the day, pointing to slowly-increasing liquidation risk.

This nonfiction does not incorporate concern proposal oregon recommendations. Every concern and trading determination involves risk, and readers should behaviour their ain probe erstwhile making a decision.

View source