While Washington is sinking in the chaos of the second day of government Shutdown, Bitcoin does exactly what he can do best – climbs up. On Thursday, the oldest cryptocurrency broke the 120,000 USD barrier for the first time since mid -August. Coincidence? Nothing happens in the world of cryptocurrencies;)
The numbers do not lie
Bitcoin reached the price of USD 120 2,86, noting an increase of 2% in the last 24 hours, according to Coingecko data. But this is just the beginning of growth. In the weekly perspective, we are talking about a jump of almost 8% – an impressive pace, especially after a recent period of stagnation. And it is not alone – gold also beats fresh records, which is suggested by a clear trend: investors are looking for safe marina.
However, the most meaningful is the action on the ETF market. On Wednesday, investors pumped up to USD 675.8 million in the Bitcoin spot funds – the highest tide from September 12. These are no longer cautious movements. This is a loud announcement that institutional players are coming back to the game. Whales do pluuuum;)
Bitcoin writes his own rules
It gets really interesting here. Market analysts pay attention to something that can fundamentally change the perception of Bitcoin as an investment asset. Although the cryptocurrency was traditionally classified as “Risk-on Asset” (like actions) is currently moving more and more independently.
Historically, BTC correlated with American actions, especially with the technology sector. Sometimes he also imitated gold behavior. Now? Play according to its own rules. Eric Balchunas, an analyst at ETFs from Bloomberg, explained this in simple words: The more independent Bitcoin’s price movements, the more attractive it becomes for investors. And this makes sense – diversification is the key to a healthy wallet.
Interest rate reductions on the horizon
If you think that the current rally is a coincidence, look at the macroeconomic given. The probability of reduction of interest rates in October increased dramatically – experts say this. And Bitcoin historically loves the environment of low interest rates. Lower feet = cheaper capital = more money looking for better returns than poor bond interest.
Uptober in all its glory
Among the cryptocurrency traders, there is a saying: in September you suffer, in October you celebrate. September is brutal for Bitcoin (and action). But October? This is a completely different story. Statistics are ruthless: 9 of the last 10 years were extremely successful for the cryptocurrency this month. Uptober is not only a meme, but a documented trend that is just confirmed.
It is worth remembering that BTC rarely dances solo. Ethereum jumped to $ 4,407 (an increase of 3%), and Solana stopped nearly $ 226, also growing by 3% in the last day. When Bitcoin leads, the rest of the market follows him – the classic bull market dynamics.
Traders focus on new records
And now the most interesting part: moods among traders. According to the Myriad platform, users estimate as much as 81% likely that Bitcoin will reach USD 125,000 (which would be a new historical record) before it drops to USD 105,000. What’s more, these forecasts have increased by 15% only in the last 24 hours.
While politicians in Washington cannot get along with the budget, BTC is reminding the world why decentralized assets make sense. The combination of influx to ETFs, growing independence from traditional markets and a favorable macroeconomic environment creates an ideal storm – this time upwards.
Will Bitcoin really hit USD 125,000? Nobody has a crystal ball, but many say that by the end of the year it will even be at USD 150,000. Too optimistic? 100,000 USD for one BTC also sounded not so long ago as cosmic prediction.
