Bitcoin and ether surge on eve of FOMC decision fueling wave of liquidations

Bitcoin's price briefly turned positive for the year, lifting the broader crypto market just before a key Federal Reserve meeting. Ether also rose above $3,300, fueled by a significant wave of forced buying as total levered short liquidations surpassed $260 million in four hours. The rally occurred one day before the Federal Open Market Committee's December meeting, where a rate cut is anticipated, making Fed Chairman Jerome Powell's forward guidance more critical than the cut itself. Analysts suggest that while a hawkish speech could dampen a Santa rally, Bitcoin's long-term outlook remains positive due to potential regulatory clarity and institutional adoption. Furthermore, positive regulatory news, including the OCC confirming national banks can engage in "riskless principal" crypto transactions, contributed to the bullish session.

(Source：The Block)