On Wednesday, Bitcoin prices rose, benefiting from growing expectations of a US interest rate cut due to continued weak economic data. This also helped Bitcoin break out of its recent trading range.
This trend similarly boosted prices across the entire cryptocurrency market, with capital inflow accelerating over the past month. The launch of a spot Bitcoin exchange-traded fund (ETF) in Australia also signals that more capital inflow is likely soon.
The decline of the US dollar this week has also been beneficial to the cryptocurrency market.
As of 01:43 Eastern Time (05:43 GMT), Bitcoin had risen 2.7% over the past 24 hours to reach $70,917.7.
Bitcoin Breaks Out of Trading Range, Nears All-Time High. The world's largest cryptocurrency, Bitcoin, has broken out of the $60,000 to $70,000 trading range it has been in since mid-March, and is now trading about $3,000 away from its all-time high.
Profit-taking, high interest rate concerns, and cooling optimism over Bitcoin ETFs had kept Bitcoin trading within a range after reaching an all-time high in early March.
However, interest in cryptocurrencies now seems to be rebounding, especially driven by expectations of this year's rate cuts.
Riskier assets such as cryptocurrencies typically benefit from lower interest rates, as increased liquidity leads to more speculative trading.
