Bitcoin Surges Past $107K as Bullish Momentum Returns Amid Fed Hints and Retail Demand

Bitcoin (BTC) has rebounded to $107,800, nearing $108,000 and fully recovering from last week’s dip triggered by Middle East tensions. The rally is fueled by dovish signals from the Federal Reserve and increasing retail interest in crypto assets.

Market sentiment has turned risk-on after Fed Chair Jerome Powell indicated that rate cuts remain possible, depending on progress in trade negotiations and continued disinflation. Traders interpret his remarks as a potential pivot by late 2025, boosting appetite for risk assets like Bitcoin and Ethereum.

Nick Ruck of LVRG Research said institutional buying is picking up pace, while crypto bulls are regaining confidence. Bitcoin is now trading 1.6% higher over the past 24 hours, with Ethereum (ETH) holding steady at $2,480, up 1.8%.

Altcoins also saw modest gains: Solana (SOL) is at $144.80, Dogecoin (DOGE) at $0.1646, XRP at $2.1887, and BNB at $647.73. Though under 1% each, analysts say these tokens could rally if BTC and ETH extend their uptrend.

FxPro analyst Alex Kuptsikevich noted that the total crypto market cap recently bounced off its 200-day moving average, confirming it as key support. BTC has also reclaimed its 50-day average, signaling momentum may accelerate further.

Retail investors are showing renewed interest. According to eToro, 58% of U.S. retail investors are shifting towards digital assets, driven by a weakening dollar and global uncertainty. CoinShares reports that 89% of current holders plan to increase crypto exposure in 2025, with 75% actively looking for new entry points.

The stage is set for potential upside as technical and macro factors align in favor of crypto markets.