+10% for Bitcoin (BTC), +12% for Solana (SOL), and up to +28% for Avalanche (AVAX): cryptocurrencies have been rising sharply for a few days. This short-term trend reversal favors a bullish recovery towards the ATH. In this context, traditional finance indicators must be observed with great attention. The latter, responsible for the recent rise, are likely to influence cryptos in the coming months.
Bitcoin and the Fed's Boost
Once again, American economic policy has influenced international finance. Jerome Powell, chairman of the American central bank (the Fed), recently announced a rate cut for September 2024This results in a significant increase in traditional markets, but also in the prices of cryptocurrencies, including Bitcoin.
When central bank rates fall, investors move more towards risky assets, including cryptos. Bitcoin benefits from Fed action, records 10% growth over the last 7 days, reaching $64,000The king of cryptocurrencies thus regains the upper hand over its previous ATH of April 2021 located at 63,000 dollars.
Bitcoin Growth Between November 2023 and August 2024 – TradingView
However, investors remain on their guard. In addition to the fact that the scale of the rate cut has not been revealed by the Fed, This pivot could reveal a struggling U.S. economy.
Markets could react very negatively if pessimistic data confirms an economic slowdown in the country. In the coming days, Several announcements will be made regarding key indicators of the U.S. economy, including :
- publication of durable goods orders for Monday, August 26;
- the second estimate of US GDP for Tuesday, August 27;
- as well as the PCE on inflation this Friday, August 30.
Even if the results are encouraging, nothing is won for the Bitcoin price. The latter must face an additional challenge specific to the cryptocurrency market. This is the temporality specific to the month of September. Indeed, since its creation in 2009, Bitcoin records average losses of … [60 % de l’article restant]