Bitcoin Breaks $114K as Fed Rate Cut Speculation Builds

Bitcoin has surged past $114,000, building momentum on positive macroeconomic signals and renewed investor confidence.

At the time of writing, BTC trades at $114,244 with a market cap of $2.27 trillion, marking a 2.28% gain over the past seven days.

Inflation Data Supports Risk Appetite

The rally comes after the latest U.S. Producer Price Index (PPI) showed a cooling in wholesale inflation, easing concerns about persistent price pressures.

The softer data has strengthened expectations that the Federal Reserve may move toward rate cuts in its upcoming meetings, creating a supportive backdrop for risk assets like Bitcoin.

Technical Signals Turn Bullish

On the hourly chart, BTC broke through resistance near $113,400, with the RSI briefly touching overbought levels at 76.

The MACD also flashed a bullish crossover, signaling potential for further upside if momentum holds. Analysts note that the combination of improving inflation data and Fed rate cut anticipation could sustain Bitcoin’s current uptrend.

If Bitcoin maintains its footing above $114,000, the next resistance zone lies near $117,000, while support has formed around $110,000. Market sentiment remains cautious but increasingly tilted toward optimism as macro and technical factors align in favor of the bulls.

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