"Hopefully now is the time for the price of BTC to rise again, don't fall back again."
Without waiting long, the price of the king of cryptocurrency Bitcoin (BTC) finally managed to break through $64,965 after the Chairman of the Federal Reserve (Fed) yesterday stated that the central bank of the United States (US) refused to use a wait-and-see approach to reduce interest rates.
In addition to insisting that the Fed will not wait until inflation reaches the 2% target for interest rate cuts, Powell also showed higher confidence that inflation will indeed be able to drop to the desired level following the continuous decline for the 3 latest readings in the second quarter of 2024.
Interest rate cuts will cause macroeconomic factors to favor risky assets such as cryptos and stocks which are expected to see massive gains in the near future.
As investors expect the entire crypto market including BTC to surpass all-time highs, some institutional firms are eyeing a possible interest rate cut in September 2024.
The drastic increase in the price of BTC was also triggered by BlackRock CEO Larry Fink who has changed from a "proud skeptic" to a "major believer" plus IBIT has earned $4 billion in net inflows in the second quarter and $18 billion since trading.
Please note that crypto-related stocks saw gains in yesterday's Monday trading, with MicroStrategy (MSTR) rising over 16% while Coinbase (COIN) and Marathon Digital (MARA) shares gained 11% and 18% respectively.
As of this writing, BTC price has surged by 4.79% to $64,749 in the last 24 hours with a market capitalization of $1.2 trillion and a 13.92% increase over the last week.
