Bitcoin (BTC) Surges 12% After FOMC Meeting Despite And $260 Million ETF Outflows

All hope to rise again for Bitcoin (BTC) as it surged by 12% earlier today following the FOMC meeting.

Data from Cointelegraph Markets Pro and Trading View shows that Bitcoin’s (BTC) price responded positively to the remarks from the US Federal Reserve’s decision on holding interest rates at current levels. 

Following the Federal Open Market Committee (FOMC) meeting, Fed Chair Jerome Powell stated that it would be “appropriate” to implement rate cuts later in the year. In addition, the Committee did not expect that it would be appropriate to reduce the target range until it gained more confidence that inflation in moving sustainably toward 2%.

Bitcoin (BTC) definitely managed to avoid another retest of the $60,000 support level, instead, it surged to $68,000 and fully nullified its previous losses.

As expected, short-term investors suffered during this upward surge. According to data from CoinGlass, the combined liquidations of short Bitcoin positions on March 20 reached $70 million. While the withdrawal of funds from the spot Bitcoin ETFs did not further impact market sentiment. 

Farside, a UK-based investment firm, revealed that $261 million exited the ETF products on March 20, due to the $386 million outflows from the Grayscale Bitcoin Trust (GBTC). However, while other ETFs experienced inflows, the amounts were still a small fraction of the daily revenue earlier in the month. 

Despite Bitcoin showing no response to a third consecutive day of outflows, market analysts are keeping their positive outlook. Bitcoin’s resilience in the face of ETF forces was noted.

At press time, Bitcoin (BTC) is trading at $67,377.51, showing a 6.86% increase with a 24-hour trading volume of $58.24 billion. Due to its recent surge, its total market cap also increased by 6.84% at $1.32 trillion