Bitcoin tops $106,000 as investors await this week’s Fed decision | Wilnesh News

Bitcoin Stocks rose to a record high on Sunday night as investors awaited an expected rate cut from the Federal Reserve later this week.

The price of the flagship cryptocurrency recently rose by more than 4% to $105,207.00, according to Coin Metrics. Earlier, it hit a new record of $106,509. ether It was also up 4%, rising to the key level just below $4,000. The broader cryptocurrency market, as measured by the CoinDesk 20 index, rose 4%.

Cryptocurrency Stocks Coin library and micro strategy There was little movement in premarket trading even after the announcement that MicroStrategy will join the Nasdaq 100 stock index and active trading QQ ETF later this month.

Bitcoin rose as the tech-heavy Nasdaq closed the U.S. trading week up 0.3% on Friday, outperforming other major stock indexes.

Investors expect the Federal Reserve to cut interest rates this week at its two-day policy meeting, which ends on Wednesday. The CME Fedwatch tool currently predicts a 96% chance of a 25 basis point rate cut. This could be positive for the price of Bitcoin, which typically trades like a tech stock and thus benefits from lower interest rates.

Lower interest rates also mean a weaker dollar and an increase in the money supply – both of which demonstrate long-term correlation with Bitcoin.

Currently, Bitcoin is up nearly 8% this month, 50% since the U.S. presidential election, and 145% for the year. The incoming Donald Trump administration’s promise of a friendlier regulatory environment and the potential establishment of a national strategic Bitcoin reserve remain positive catalysts for digital assets and cryptocurrencies in general.