Bitcoin Spikes to $41, 700 as Crypto Assets Rally
The largest crypto asset, Bitcoin and other cryptocurrencies recorded significant gains early on Monday. Following a sustained buying momentum, the largest digital asset hit 20 month high.
Bitcoin price spiked by 6% over the past 24 hours to about $41,700, blowing past the key levels of $39,000, $40,000, and $41,000 in a weekend surge that took the token to its highest level since April 2022.
Bitcoin has gained more than 50% since mid-October, snapping out of a long lull. The last time prices were so high was just before the collapse of the Terra stablecoin network touched off a brutal bear market.
Bitcoin has even vastly outperformed the red-hot Dow Jones Industrial Average and S&P 500, which have been on a roll since late October, driven by crypto-native and macroeconomic catalysts alike. Nigeria Eurobond Slumps after CBN Resumes OMO Auction
The major force behind Bitcoin’s gains has been hopes that regulators will soon approve the first spot Bitcoin exchange-traded fund (ETF), which experts predict would usher in a fresh wave of investor interest in digital assets.
Increasing expectations that the Federal Reserve will cut interest rates multiple times next year — a macro backdrop that has also lifted stocks — has helped matters, with lower rates tending to benefit riskier bets like Bitcoin and tech stocks.
Ether, the second-largest crypto, rose 4.5% to $2,260. Smaller tokens or altcoin were also higher, with Cardano climbing 4% and Polygon popping 2%. Memecoins were even more buoyant: Dogecoin jumped 5% and Shiba Inu surged 11%.
