Bitcoin price hits $27K in new 9-month high as Fed injects $300B
Bitcoin (BTC) hit new nine-month highs on March 17 as the latest events in the growing United States banking crisis boosted crypto markets.
Data from Cointelegraph Markets Pro and TradingView showed BTC/USD hitting $27,025 on Bitstamp before consolidating.
At the time of writing, the pair circled $26,500 with volatility ongoing after the Wall Street open.
A catalyst for fresh upside had come in the form of the Federal Reserve’s balance sheet data overnight, this showing almost $300 billion being injected into the economy as part of the banking crisis response.
The event effectively undid months of liquidity removal under the Fed’s quantitative tightening (QT), and commentators were quick to call the restarting of the opposite phenomenon — quantitative easing (QE).
“They’ll tell you it’s not QE, but the numbers don’t lie. Roughly half of the reduction from a year of quantitative tightening has been erased in a week,” trader, analyst and podcast host Scott Melker, known as “The Wolf of All Streets,” commented.
Bitcoin thus followed a strong performance for U.S. equities the day prior.
For market commentators, belief was there that the uptrend could continue despite stocks producing sideways action on the day.
“Bitcoin is trying to fly - this resistance line will break sooner or later,” popular analytics resource Stockmoney Lizards summarized about a chart showing a rising resistance trend line for BTC/USD.
Cointelegraph contributor Michaël van de Poppe, founder and CEO of trading firm Eight, eyed specific levels up and down.
“Chopperino land on Bitcoin, which means that we'll probably have some sideways structures,” he told followers on the day.
In his latest markets blog post meanwhile, Arthur Hayes, former CEO of derivatives giant
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