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- $354M in crypto liquidations as Bitcoin breaks above $115K
- 8 of 10 key market indicators flash bearish despite price surge
- Fed rate cuts could determine if the bull run continues
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Bitcoin’s latest price rally has come at a steep cost for leveraged traders, triggering over $354 million in liquidations across the crypto market. According to CoinMarketCap, BTC briefly surged past $116,317, marking a 3% weekly gain as investors brace for next week’s pivotal Federal Reserve meeting that could dictate the market’s next move.
Fed Rate Cuts Loom Large
Markets are now laser-focused on the September 17 Fed meeting, where policy shifts could reshape risk appetite. A Reuters poll of 107 economists revealed that 105 expect a 25-basis-point rate cut, lowering the federal funds rate to 4.00%–4.25%.
According to a Reuters survey, 105 out of 107 economists expect the Federal Reserve to cut interest rates by 25 basis points to 4.00%-4.25% on September 17, as labor market weakness outweighs inflation risks. Most respondents also anticipate another rate cut next quarter, with…
— Wu Blockchain (@WuBlockchain) September 12, 2025
This comes as U.S. labor market data weakens, with slowing job growth and downward payroll revisions fueling expectations for a more aggressive easing cycle. Traders are even pricing in the possibility of up to three rate cuts by year-end, while a minority speculate about a larger 50 bps cut next week. Former President Donald Trump’s public pressure on Fed Chair Jerome Powell to cut faster has further amplified market attention.
Bull Indicators Flash Warnings
Despite the bullish price action, on-chain indicators suggest caution. CryptoQuant’s Bull Score Index shows 8 of 10 metrics flashing bearish, with only “demand growth” and “technical signal” remaining positive. The last time this many indicators turned bearish was in April—right before Bitcoin plunged to $75,000.
Meanwhile, the CoinGlass Bull Run Index (CBBI) currently sits at 74, implying the market is about three-quarters through the bull cycle. Yet, just one of its 30 peak signals—the altcoin season index—has triggered, hinting the rally still lacks the euphoric blow-off top seen in previous cycles.
Also Read: BlackRock’s $100B Crypto Portfolio: Bitcoin Surges While Ethereum Faces Outflows
Can the Fed Fuel the Next Leg Higher?
With $354 million liquidated and technical signals cooling, Bitcoin’s short-term outlook appears fragile. However, a dovish Fed pivot could inject fresh liquidity, potentially extending the bull run into year-end.
If the Fed delivers the expected cut and signals further easing, it could ignite risk appetite and push Bitcoin toward new highs—but for now, traders remain on edge.
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Disclaimer: The information in this article is for general purposes only and does not constitute financial advice. The author’s views are personal and may not reflect the views of Chain Affairs. Before making any investment decisions, you should always conduct your own research. Chain Affairs is not responsible for any financial losses.
I’m a crypto enthusiast with a background in finance. I’m fascinated by the potential of crypto to disrupt traditional financial systems. I’m always on the lookout for new and innovative projects in the space. I believe that crypto has the potential to create a more equitable and inclusive financial system.
