Bitcoin is falling after hitting a record high of $108,000 ahead of the Fed meeting

Bitcoin (BTC) caught a breather after hitting an all-time high of $108,268, as traders awaited an expected interest rate cut by the Federal Reserve and assessed optimism from President-elect Donald Trump’s pro-crypto stance.

BTC reached an all-time high of $108,268 and traded down 2.6% at $104,046 over the past 24 hours as of 12:39 PM EST. EthereumThe second-largest cryptocurrency also fell by 4.5%, trading at $3,836 during the same period.

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The Fed is widely expected to implement another quarter-point interest rate cut on Wednesday, but there is less clarity on the policy outlook next year due to strong economic growth in the United States and inflation risks from Trump’s broader agenda.

“Bitcoin reached a new all-time high of $108,250 before seeing a slight pullback as investors booked profits. Despite this decline, demand remains strong, with Bitcoin whales accumulating $7.28 billion worth of Bitcoin over the past two days The rate cut has already been priced in, leaving investors waiting for the Fed’s comments on the 2025 outlook, and a positive stance could boost BTC to the $110,000 level, Edul said. Patel, CEO of Mudrex, in the coming days.

“BTC is facing resistance at the previous ATH price of $107,800 with support standing at $103,900,” he added. “Bitcoin must hold $104,000 to maintain the bullish momentum this week. Altcoins are likely to follow suit,” said Vikram Soburaj, CEO of Giottus. Altcoins mirrored Bitcoin’s decline. BNB, Solana, Dogecoin, Cardano, Tron, Avalanche, Chainlink, and Shiba Inu recorded losses of up to 6%.

According to CoinMarketCap, stablecoins accounted for $189.92 billion in trading volume, accounting for 92.1% of the total 24-hour cryptocurrency market volume. The global market capitalization of cryptocurrencies declined by 2.7% during the same period, falling to approximately $3.64 trillion.

In the past 24 hours, the market capitalization of Bitcoin, the world’s largest cryptocurrency, fell to $2.06 trillion. Bitcoin dominance currently stands at 56.65%, according to CoinMarketCap. Bitcoin volume in the past 24 hours fell by 4% to $78.4 billion.

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