Bitcoin surged 5% to $117,300 following a hint from Federal Reserve Chair Jerome Powell about an upcoming interest rate cut. This surge liquidated approximately $379.88 million in short positions, with Bitcoin alone accounting for $56.4 million of that total. The move caught many traders off guard, flipping sentiment from bearish to bullish. Analysts believe that this signals a potential uptrend for Bitcoin, with some forecasting prices could hit $200,000 before the year's end. Despite this rapid rise, some analysts suggest that a price retracement could occur after this initial pump, but they are optimistic that the market has an inherent desire to push higher. There is a growing consensus among industry participants that higher prices are on the horizon, shaped further by potential regulatory changes like the inclusion of crypto in 401(k) plans.

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