London, February 13, 2024, The Europe Today: Bitcoin, the world’s largest cryptocurrency, reached a milestone by surpassing the $50,000 level for the first time in over two years. The surge was fueled by expectations of upcoming interest rate cuts and recent regulatory approval for U.S. exchange-traded funds (ETFs) designed to track its price.
Year-to-date, Bitcoin has witnessed a substantial increase of 16.3%, reaching its highest point since December 27, 2021, on Monday. As of 12:56 p.m. EST (1756 GMT), Bitcoin was up 4.96% on the day at $49,899, maintaining a steady presence around the $50,000 level.
Antoni Trenchev, co-founder of the crypto lending platform Nexo, emphasized the significance of Bitcoin hitting $50,000, stating, “$50,000 is a significant milestone for bitcoin after the launch of spot ETFs last month not only failed to elicit a move above this key psychological level but led to a 20% sell-off.”
The positive momentum extended to crypto-related stocks on Monday. Leading cryptocurrency exchange Coinbase experienced a 4.9% increase, while crypto miners Riot Platforms and Marathon Digital surged 10.8% and 11.9%, respectively. Shares of software firm MicroStrategy, a notable buyer of bitcoin, also saw a notable rise of 10.2%.
In tandem with Bitcoin’s rally, the price of Ether, the second-largest cryptocurrency, witnessed a 4.12% increase, reaching $2,607.57.
Global stock indexes saw a modest uptick on Monday, as traders sought cues on the potential timeline for interest rate cuts by the U.S. Federal Reserve. Analysts and financial market expectations align on May as a potential starting point for rate cuts later this year.
As the cryptocurrency market continues to show resilience and responsiveness to regulatory developments and macroeconomic factors, investors remain vigilant, navigating through an evolving financial landscape. The surge in Bitcoin, along with positive movements in related stocks, underscores the dynamic nature of the digital asset market.
