Bitcoin (BTC-USD) has crossed $30K for the first time in 10 months on Tuesday, as investors are increasingly betting on the Federal Reserve ending its monetary tightening policy ahead of the release of key inflation data on Wednesday.
The top cryptocurrency jumped to $30.3K, its highest level since June 2022, and is trading 6.2% higher at $30.1K as of 5.20 am ET. Ethereum (ETH-USD) rose 2% to $1.9K, inching closer to $20K.
“Overall, the trend is up, indicating a bullish market for cryptocurrencies,” Matrixport tweeted. “Crypto has been driven by alpha factors, which is positive.”
More than 87% of all BTC future trades liquidated in the past 24 hours were short, or bets against a rise in prices, CoinDesk reported. Losses from these trades amounted to some $145 million in the process.
Knox Ridley, Investing Groups leader of ‘Tech Insider Network’, said now that bitcoin (BTC-USD) has risen nearly 90% from its November low, “we must conclude that this appears to be more than just a bear market bounce.”
“The recent decoupling of bitcoin (BTC-USD) from equities, we believe, is the start of a new uptrend that appears to be inversely correlated to the financial sector,” said Ridley. “As more and more investors realize their deposits, once again, may not be safe, we should see an increase in BTC demand.”
Earlier, SA contributor VanEck analyzed how global sanctions triggered a resistance to the U.S. dollar hegemony.