Bitcoin to $150,000? Investors see new record after Fed cuts rates

Core Viewpoint - Bitcoin's price is projected to reach $150,000 by the end of the year despite a recent selloff following the Federal Reserve's interest rate cut [1][2]. Market Analysis - Annabelle Huang noted that the recent "sell the news" reaction after the Fed's 0.25% rate cut does not impact long-term bullish sentiment for Bitcoin [1]. - Bitcoin is currently trading at approximately $111,400, down 12% from its all-time high of $126,000 set on October 6 [2]. - Bitcoin exchange-traded funds experienced $470 million in outflows on October 29, but have seen over $4 billion in net positive inflows throughout October [2]. Liquidity and Volatility - Greg Magadini indicated that as long as liquidity remains easy, a rally in the crypto market is expected towards the end of the year [3]. - The current market dynamics, characterized by opposing narratives, may help reduce volatility and facilitate a gradual price increase [3]. - The Federal Open Market Committee's next meeting in December is crucial, with a 70% chance of another rate cut according to the CME FedWatch tool [4]. Macro Environment - Ed Yardeni expressed caution regarding potential further rate cuts this year, highlighting concerns among FOMC participants about financial instability due to easier monetary policy [5]. - The overall macro backdrop remains uncertain, with the market closely monitoring the Federal Reserve's actions [4][5].