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I see that Bitcoin's bullish trend has been broken, and today it is still in a price consolidation phase with a fairly long sideways movement above $105k. The bearish trend in the short term can still be seen, perhaps for a few more weeks, but I am very optimistic that the interest rate cut in September will provide extraordinary liquidity to the market, which could boost prices or turn the situation bullish again.
Bitcoin can rise at any time and for any reason. There are many positive factors that could drive the price up, but I really wonder why an interest rate cut would have such an impact on the market. If the market reacts based on interest rate adjustments, then the government has likely been able to control the market and bitcoin indirectly.
Bitcoin is still very likely to hit a new all-time high on this year, but we never know when that will happen. The potential for significant upside is still very reasonable, even if it takes weeks or months. Currently, the price is around $110,000, down nearly 1.5% in the last 24 hours.
The correlation can be linked to people's willingness to borrow for investment, especially now that institutions are starting to take positions in the bitcoin market. Many institutions are borrowing money to increase their investments. On the other hand, borrowing costs become cheaper when interest rates fall, which indicates that liquidity is likely to increase in the market.
Lower interest rates also indicate that the economy is starting to recover, with all these funds stimulating the economy to improve further.