Cryptocurrency enthusiasts have witnessed a significant rebound in bitcoin, as the digital currency surpassed $38,370 on Tuesday. This latest surge reflects a growing interest in cryptocurrencies, and is supported by expectations of a shift in Federal Reserve policy to lower interest rates amid signs of slowing inflation.
Bitcoin has climbed an impressive 129% this year, after a tumultuous 2022 that saw the cryptocurrency take a steep dive. The positive sentiment in the crypto market was further boosted by comments from Fed Governor Christopher Waller, who suggested that the central bank may consider cutting interest rates, a move that traditionally benefits risk assets like cryptocurrencies.
Despite the U.S. Securities and Exchange Commission’s (SEC) decision to delay its decision on Hashdex and Franklin’s applications for bitcoin ETFs, the market’s momentum remains undiminished. Crypto analysts have pointed to these delays, but they seem to have had little impact on the growing investor enthusiasm for bitcoin and other digital currencies.
