Bitcoin Gains Momentum Amid Ceasefire and Fed Comments
Bitcoin surged to hold above the $105,000 mark on Monday, June 24, as a confluence of bullish signals ignited renewed optimism in the cryptocurrency market. The leading digital asset rose sharply, preserving most of its 4.4% gains from the previous day, driven by geopolitical relief in the Middle East and growing expectations of a potential interest rate cut by the US Federal Reserve in July.
The recent price jump came after a tentative ceasefire between conflicting parties in the Middle East, which sparked a wider rally in risk assets and a decline in oil prices. Bitcoin was trading at $104,898 as Wall Street opened, with traders eyeing $103,000 as the new “buy-the-dip” level.
Traders Spot Bullish Trend Shift
Popular crypto analyst Michaël van de Poppe noted that Bitcoin’s price action reflects a “trend switch,” suggesting a shift toward an upward trajectory following a steep correction below $100,000.
“It’s uptrending now, after we’ve had a massive liquidation crash to sub $100K,” van de Poppe told his followers on X (formerly Twitter). “It broke through $103K and hit the next resistance. Time to be buying the dip, so if we get to $103K, that’s the area you’d want to accumulate.”
Echoing this sentiment, trader Daan Crypto Trades observed that Bitcoin had rebounded strongly from range lows after a significant liquidity grab. “Now back near the middle of the range from the past six weeks or so,” he said, indicating potential for further upside.
Institutional Confidence Remains Steady
Despite the recent geopolitical tensions, institutional investment in Bitcoin has remained resilient. Spot Bitcoin exchange-traded funds (ETFs) in the United States continued to record net inflows even during the height of the US-Iran confrontation.
On-chain analytics platform Glassnode highlighted this as a notable indicator of market confidence. “Although the inflows were modest, no major outflows were recorded either, which is a significant signal of investor confidence,” Glassnode stated.
The stability of institutional interest suggests that market participants are viewing Bitcoin as a long-term asset, withstanding short-term global uncertainties.
Fed’s Bowman Signals Support for July Rate Cut
Another key factor fuelling optimism in the crypto market was the dovish tone adopted by US Federal Reserve officials. Vice Chair for Supervision Michelle Bowman hinted at a potential interest rate cut during the upcoming Federal Open Market Committee (FOMC) meeting in July.
Speaking at an event in Prague on June 23, Bowman stated she would consider supporting a rate reduction if inflation data remains favourable. “Should inflation pressures remain contained, I would support lowering the policy rate as soon as our next meeting in order to bring it closer to its neutral setting and to sustain a healthy labour market,” she said.
Bowman also commented that the economic impact of recent US trade tariffs may not be as severe as initially anticipated, which could ease some policy concerns.
Markets Expect Rate Cuts Later in 2025
Despite Bowman’s remarks, futures data from CME Group’s FedWatch Tool indicates that markets are still pricing in the first of two expected rate cuts for September 2025. However, Bowman’s openness to an earlier rate adjustment has added fuel to the bullish crypto narrative.
Fed Chair Jerome Powell is also due to testify before US lawmakers on June 24–25, an appearance that could further clarify the central bank’s stance on future monetary policy and its impact on both traditional and crypto markets.
Conclusion
With Bitcoin consolidating above $105,000 and investor sentiment boosted by a potential shift in Federal Reserve policy and easing geopolitical tensions, the digital asset appears to be entering a new bullish phase. Traders and analysts alike are now watching the $103,000 level as a key zone for accumulation, signalling renewed confidence in Bitcoin’s medium-term prospects.
