Markets
Bitcoin reaches US$66,000 as crypto markets rise
Bitcoin rose above the $66,000 level on Wednesday for the first time since April 24, recording a massive 7% gain in the last 24 hours. At the time of writing, the price of Bitcoin is still up 6.2%, reaching a high of $65,800.
Bitcoin (BTC) 24-hour price chart, source: CoinMarketCap
Swissblock analysts attributed the boom to upbeat economic data and a general recovery in the crypto market. The firm highlighted that recent US economic data, led by the Consumer Price Index and retail sales, predicts that Bitcoin could rise to $69,000 and potentially reach a new high of $84,000.
Swissblock’s latest market update also noted that such a breakout could lead to strong performance in altcoins.
Meanwhile, Ether (ETH) experienced a modest increase, trading near $3,000 for a 4% gain, while Solana (SUN) It’s close (CLOSE) led big crypto gains with increases of 8% and 11%, respectively.
The rally in cryptocurrencies was also consistent with firm gains for US stocks. The S&P 500 appreciated by more than 1%, reaching a new all-time high, which is a clear indication that investors are once again more willing to take risks following the weakness in the April CPI reading. That implied a modest retreat in inflationary pressures, in turn raising hopes that the Fed’s rate hikes would be slow and measured.
Read too:Bitcoin ETF Gains Institutional Interest Amid Market Recovery.