Bitcoin (BTC) surged past $60,000 on Friday, marking its highest price since early September. Traders are optimistic about the market, expecting a significant rate cut from the upcoming Federal Reserve meeting.
As Bitcoin continued its climb, a well-known swing trader seized the moment, depositing 205 BTC, worth $12.4 million, into Binance to secure profits. The trader made an impressive total gain of $2.36 million, Lookonchain reported.
Bitcoin is trading at $60,102.61, having risen 3.69% in the past 24 hours. Over the last week, Bitcoin’s value has surged by more than 10%, bringing its market capitalization to $1.18 trillion, representing a 3.68% increase.
Will Bitcoin Climb More?
The recent price fluctuations of Bitcoin, despite its remarkable increase, have not shown a substantial response to the declining U.S. Dollar Index (DXY).
This is anticipated to change shortly, with Bitcoin probably continuing its upward trajectory, according to TradingShot, a TradingView expert. Experts predict that demand for riskier assets like Bitcoin will increase when the value of the dollar declines.
This week’s presidential debate between Kamala Harris and Donald Trump was notable. Given the increasing interest in the U.S. government’s plans to address the cryptocurrency sector, the crypto community had high expectations that the conversation would touch on regulation of the industry.
Nevertheless, issues like abortion rights, inflation, and economic instability dominated the conversation and crypto regulation was left out.
Shortly after, the market for Bitcoin experienced selling pressure as disgruntled investors started liquidating some of their holdings. Even with this little decline, Bitcoin recovered rapidly in a matter of hours, proving its stability in a tumultuous market.
FED’s Interest Rate Driving Bitcoin’s Price
One of the main factors behind Bitcoin’s recent rise has been the increasing confidence in the Federal Reserve’s anticipated interest rate decision.
A large rate drop, according to investors, may increase market liquidity and increase the appeal of cryptocurrencies like Bitcoin. Moreover, a lot of people view Bitcoin as a hedge against currency devaluation, which has strengthened its reputation as “digital gold” given that inflation is still a major worry.
Analysts anticipate that Bitcoin will continue to rise as the cryptocurrency sector develops, especially if macroeconomic conditions stay favourable.
In the following weeks, Bitcoin’s trajectory may be further shaped by the Federal Reserve meeting that is scheduled to take place as well as any subsequent changes in U.S. crypto policy.