Bitcoin surged to $39,000, reaching levels unseen since May 2022. 

Fed Chair Powell's cautious remarks on inflation and rate hikes stirred market excitement. 

Powell emphasized the Fed's commitment to lowering inflation to 2% without premature actions. 

Despite caution, Powell's comments boosted risk asset sentiment and market reactions. 

The Kobeissi Letter expressed a sober outlook on the Fed's future actions. 

Bitcoin took advantage of the positive sentiment, contrasting with a flat reaction to U.S. macro data. 

The next Federal Open Market Committee (FOMC) meeting in mid-December could bring interest rate announcements. 

Market expectations, as of Dec 2023, favoured a pause in interest rate hikes. 

Bitcoin faced resistance at $39,000, with notable support at $38,000. 

Traders predicted a bullish trend, with targets extending beyond $39,000.