Cryptocurrency Hits Milestone Amid Growing Investor Confidence and Market Momentum
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| Bitcoin jumps to $108K, Reaching New All-Time High |
Bitcoin surpassed $108,000, hitting a new high for the cryptocurrency, with traders anticipating an expected interest rate cut as the U.S. The Federal Reserve (central banking), and the wave of optimism from President-elect Donald Trump’s approval of cryptocurrencies.
The largest cryptocurrency peaked at $108,315 late yesterday, then fell to $104,115 in late trade, with the total value of digital assets approaching $4 trillion, according to data from the Coingecco platform.
The reasons for the increase
Trump promised open-ended regulations for the United States to regulate the cryptocurrency sector and even backed the idea of a domestic regulatory framework for bitcoin.
MicroStrategy Inc. (NASDAQ:MST)’s yield on the Nasdaq 100 is 0.01%. Its upcoming listing has added to the bullish sentiment by opening up new opportunities as further share price gains for a company whose main mission is to raise capital to invest in bitcoin.
Reduced interest rates
The Federal Reserve is widely expected to deliver another quarter of interest rate cuts on Wednesday, but there is little clarity on policy for next year given risks in the US. due to economic growth and inflation from Trump’s expansionary policies.
“We expect this week’s FOMC meeting to contribute to market volatility,” K33 Research analysts Veitel Lund and David Zimmerman wrote in a note, referring to the Fed’s last policy meeting of the year. “We have quieter weeks ahead after the FOMC, which could pave the way for bitcoin’s momentum to become more apparent during the holiday season.”
The price of Bitcoin has surged more than 55% since Trump won the presidential election on November 5, and investors have ignored warnings about the cryptocurrency’s volatile history and moved into the US. exchange-traded banks to acquire bitcoin