Bitcoin Rebounds 2% as Fed Signals Rate Cuts; Bullish Metrics Point to Further Upside

Bitcoin price rebounded 2% on April 4 to $67,510 as broader markets rallied following dovish comments from Fed Chair Powell, who suggested interest rate cuts were likely this year.

Powell stated the policy rate was likely at its peak for this tightening cycle and rate cuts could come before end of 2024 to support the economy.

Latest US jobless claims data came in slightly higher than expected at 221,000, providing additional boost to markets.

Bitcoin's 200-period EMA on 4-hour charts is providing support, while the daily RSI crossed back above 50, signalling potential for further upside.

Traders pointed to a bullish divergence on Bitcoin's daily RSI during this pullback, often signalling the next leg higher in a strong uptrend.