Bitcoin News Today: Bitcoin Bulls Outmaneuver Shorts as Macro Tailwinds Align

Bitcoin’s recent price action has sparked renewed optimism among bulls, with the cryptocurrency climbing to $112,500 on Wednesday as traders positioned for a potential rebound. The price move follows a classic support retest, where Bitcoin successfully bounced off key levels, reinforcing its status as a macroeconomic hedge, particularly in anticipation of the U.S. Federal Reserve’s expected rate cut on September 17. Market participants noted that the rally appears to have liquidated short positions, with data from CoinGlass showing a chunk of liquidity being absorbed at the $112,000 level. Analysts on social platforms, including traders CrypNuevo and BitBull, emphasized that the recovery aligns with Bitcoin’s bull market support channel, suggesting that bulls remain in control despite lingering bearish sentiment over longer time frames.

The broader macroeconomic environment also favors Bitcoin’s resurgence. QCP Capital highlighted in its latest report that the likelihood of two Fed rate cuts this year remains reasonable, with policy uncertainty and potential inflationary pressures from new tariffs adding to the case for Bitcoin and gold as hedges. Gold, which reached an all-time high of $3,567 per ounce on Wednesday, has historically moved in tandem with Bitcoin during periods of monetary easing, further reinforcing the case for a bullish risk-on environment.

In parallel, the U.S. capital markets have seen a significant development with the Nasdaq listing of American Bitcoin, a company backed by Donald Trump’s sons and now trading under the ticker ABTC. The listing, which followed an all-stock merger with Gryphon Digital Mining, saw the stock surge nearly 90% in its first hour of trading before settling to a 16.52% gain by the end of the session. The move underscores growing institutional interest in Bitcoin-based equities and highlights the potential for a broader integration of crypto assets into traditional finance. Notably, Bitcoin’s price rose to $111,500 per coin on the same day, with year-to-date gains of 19%.

This comes on the heels of another Trump-associated crypto project, World Liberty Financial, which launched its token on crypto exchanges earlier in the week. While the token’s initial price spike was followed by a roughly 5% decline, it remains the 27th largest cryptocurrency by market capitalization, valued at approximately $4.8 billion based on the Trump family’s holdings. The Trump family’s stake in the project, held via a shell corporation, underscores the increasing overlap between political influence and crypto market dynamics.

Looking ahead, the September pattern—historically a volatile and bearish month for cryptocurrencies—may begin to shift in 2025. Analysts like Tom Lee of Fundstrat Capital have pointed to Ethereum’s potential to reach $62,000 if the ETH/BTC ratio extends beyond its historical averages. However, Bitcoin’s recent ETF inflows and its role as a safer digital asset suggest that it may continue to outperform its peers, especially as risk appetite wanes.

Source: [1] American Bitcoin listed on the Nasdaq (https://finance.yahoo.com/news/american-bitcoin-listed-on-the-nasdaq-141359159.html) [2] Bitcoin bulls 'still in control' as BTC price passes $112K (https://cointelegraph.com/news/bitcoin-bulls-still-in-control-btc-price-passes-112k-analysis) [3] Ethereum Could Reach $62000 If It Hits This ETH/BTC Ratio (https://finance.yahoo.com/news/tom-lee-ethereum-could-reach-203041720.html) [4] Bitcoin ETFs Pull $332.7M in a Day as Ethereum Sees $135M (https://finance.yahoo.com/news/bitcoin-etfs-pull-332-7m-104009462.html)