U.Today – According to Bloomberg, hedge fund manager and founder of SkyBridge Capital Anthony Scaramucci has made a bold prediction for (BTC), predicting that the cryptocurrency could hit new all-time highs.
According to Scaramucci, a combination of expected rate cuts from the Federal Reserve and a clearer regulatory framework in the US could serve as key catalysts for a significant increase in the price of Bitcoin.
Scaramucci thinks the Fed could probably cut borrowing costs by half a point on Wednesday, as part of a reduction of at least 150 basis points over the next 18 months.
This move “will be really good for asset prices in the US and globally,” Scaramucci said, adding that Bitcoin could hit $100,000 by the end of the year.
Bitcoin hit an all-time high of $73,798 in mid-March, driven by demand for U.S. exchange-traded funds. The rise then slowed as inflows into ETFs declined.
Fed rate decision anticipated
Cryptocurrencies saw mixed price action in early trading on Wednesday, ahead of the Federal Reserve’s interest rate announcement expected later in the day. While a rate cut is almost certain to happen, traders are divided on how much it will be.
Investors are looking for signs of what the Federal Reserve's interest rate policy will look like for the rest of the year and whether further cuts are on the horizon.
Federal Reserve Chairman Jerome Powell is scheduled to hold a post-meeting news conference that could reveal new insights into the central bank's thinking.
Bitcoin reacts to Fed rate decision
Bitcoin rose significantly in Tuesday's trading session as the Fed meeting kicked off and optimism about an anticipated rate cut increased.
The largest cryptocurrency by market cap rose to a high of $61,373 in Tuesday's trading session, its highest price in three weeks at $61,330, before giving back some of its gains. It traded slightly below $60,000 but was still up 1.18% over the past 24 hours.
According to cryptocurrency analyst Ali Martinez, Bitcoin may experience a minor pullback after the TD Sequential indicator produced a sell signal on BTC’s hourly chart.
Meanwhile, on the upside, on-chain resistance levels are relatively evenly distributed; according to IntoTheblock, a key level to watch is $64,000, where 1.57 million addresses are now holding at a loss.
This article was originally published on U.Today
