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Bitcoin skyrockets post-FOMC meeting to $87K. Will this reversal drive BTC price closer to the $100K mark?
Bitcoin reached a 24-hour high of $87,000 after the U.S. Federal Reserve decided to keep interest rates unchanged. Currently, Bitcoin is experiencing an intraday pullback of 1.12% and is trading at a market price of $85,869.
The overnight recovery has created a bullish engulfing candle, signaling a potential trend reversal. Could this result in a price surge toward the $94,000 mark?
Bitcoin Back at $85K, Bulls Target $94K
In the daily chart, Bitcoin’s price trend shows a bullish comeback, gradually gaining momentum. After bouncing off the recent swing low of $76,600 on March 11, Bitcoin is now approaching the $90,000 mark.
Currently, Bitcoin is up by nearly 12% over the past 10 days. The recovery has surpassed the broken support trendline and is now poised to challenge the long-standing resistance trendline.
Additionally, Bitcoin is testing the 61.80% Fibonacci level at $86,146. With this short-term recovery, the MACD and signal lines have given a positive crossover, signaling a buying opportunity supported by the resurgence of bullish histograms.
Meanwhile, the Stochastic RSI shows the K and D lines entering the oversold zone. This suggests a potential short-term pullback near the resistance trendline.
Bitcoin ETFs Mark Near $500M Inflow in Three Days
Amid the massive price surge, institutional support continues as U.S. Bitcoin spot ETFs see their fourth consecutive day of outflows. On March 19, the daily total net inflow stood at $11.80 million.
Invesco was the sole ETF that experienced an outflow of $10.24 million, while eight ETFs maintained a net zero flow. Bitwise recorded an inflow of $12.09 million, followed by Grayscale’s Bitcoin Trust and Mini Trust, which together saw an inflow of $9.95 million.
Since the start of this week, Bitcoin ETFs have recorded a total inflow of $495.51 million. With this new wave of inflows, institutional support could fuel the next bullish rally.
Analyst Signals Rising Demand to Extend Rally
According to Axel Adler Jr., the massive demand surge in the market is at levels seen during the bottom of the previous bear market. Analysts state that since February 23, when Bitcoin was priced at $96,000, new investors have acquired 172,705 BTC.
This dynamic is at the same level as during the FTX market crash. With such strong demand, the optimistic outlook for Bitcoin signals a potential extended rally.
Since February 23 (at the $96K level), new investors have acquired 172,705 BTC.
The market is experiencing strong demand for coins, comparable to the demand seen after the FTX collapse, when the bear market bottom was formed. pic.twitter.com/RGfb0tBN8w
— Axel 💎🙌 Adler Jr (@AxelAdlerJr) March 20, 2025
Bitcoin Price Targets
Based on Fibonacci levels, Bitcoin’s extended rally is likely to challenge the 78.6% Fibonacci level at $94,959. This would result in a breakout of the local resistance trendline and further increase bullish momentum.
Thus, extended price targets for Bitcoin include $106,184 and $120,452. On the flip side, a short-term correction could lead to a retest of the $80,000 mark, near the 50% Fibonacci level.