In the past 24 hours, the overall market has strengthened, with $BTC rising back above $92,000, and both mainstream and altcoins have almost all turned from red to green. The key factor driving the market is still this week's Federal Reserve interest rate decision, with market expectations for a 25bp rate cut nearing 95%, and everyone almost defaulted to the notion that liquidity is coming back. In this context, it is not surprising that funds entered the market early.
The actions of institutions are also worth mentioning; a large institution directly increased its holdings by over 10,000 BTC last week and prepared $1.2 billion in reserves to hedge against potential risks. This attitude of continuing to buy at high levels and proactively doing risk buffering has given many people more confidence in the future market.
The sentiment on the futures side is also very obvious, with open interest rising to $129.9 billion, and over $300 million in shorts being liquidated in the past day, while long positions are under pressure. However, it should be noted that the current rise is more driven by "policy expectations" rather than a sudden change in fundamentals. If the Federal Reserve's outcome is not as optimistic as the market imagines, there could still be fluctuations in the short term. Overall, this wave is more like a sentiment uplift before policy rather than a complete trend reversal.
