Bitcoin Rises: Crypto Traders Are Ignoring Spiking Bond Yields
Bitcoin, the largest cryptocurrency, experienced a slight increase in value on Thursday amidst a mixed market for cryptocurrencies. The crypto sector’s attention is divided between the global macroeconomic backdrop of soaring bond yields and any news related to the trial of FTX founder Sam Bankman-Fried.
Over the past 24 hours, Bitcoin has risen by 0.4% to reach $27,641. After witnessing a surge earlier in the week, the cryptocurrency seems to be settling back into a trading range between $26,000 and $28,000.
It is noteworthy that Bitcoin has managed to defy the recent selloff in stocks and other risk assets, a trend that has captured the attention of bullish traders. This resilience could be attributed to the current status of global bond yields, which have reached multiyear highs. Additionally, traders are hopeful that October will live up to its historical record as a good month for cryptocurrencies.
“We consider that the end of the US Federal Reserve’s current tightening cycle is around the corner, which is at least limiting crypto’s downside from current levels,” wrote Manuel Villegas, an analyst at Julius Baer.
However, while Bitcoin has seen a slight increase in value, other cryptocurrencies have experienced declines. Ether, the second-largest cryptocurrency, fell by 0.5% to $1,639. Other smaller altcoins, including Cardano and Solana, also registered losses, with Cardano falling by 0.1% and Solana dropping by 2.6%. Memecoins like Dogecoin also experienced a decline of 0.5%.
Despite these declines, the overall focus remains on Bitcoin, which has managed to display stability and resistance amidst the volatile cryptocurrency market. Traders and investors are closely observing the developments in the space, particularly the impact of global macroeconomic factors on Bitcoin’s performance.
In conclusion, while Bitcoin continues to exhibit some upward movement, the broader cryptocurrency market is experiencing fluctuations. The upcoming trial of FTX founder Sam Bankman-Fried and the impact of rising bond yields on the global macroeconomic environment remains of particular interest to crypto traders. As October progresses, market participants will keenly observe if Bitcoin can maintain its resilience and historical performance for the remainder of the month.
Disclaimer: The above should not be considered investment advice. The article is for informational purposes only and does not encourage or promote any specific investment or trading strategy.