Why Crypto Market is up today? Here Are Top Factors
Elena R4 Dec 20232 min read
Over the weekend, Bitcoin surprised everyone by jumping past $40,000 and hitting $41,500 on Monday. Ethereum also joined the party, going over $2,260 in a wider rally across the crypto market. But what’s the factor driving up the price of this cryptocurrency?
Top Reason Behind Market Rise
December has brought good vibes to the crypto world, making various digital currencies go up. Perhaps the recent jump in prices is connected to the growing anticipation for a Spot Bitcoin ETF approval, the upcoming Bitcoin halving in 2024, and other positive feelings in the market.
Aside from this, recent dovish remarks from Fed officials contributed to the recent gains noted in the digital asset space.
Right now, BTC is at $41,246, up by 5.3%, with a market cap of $806 billion. Ethereum is also up, reaching $2,205. Most top-10 cryptocurrencies saw small gains, but BNB, linked with Binance, went down by 0.1%.
FOMO Buying Into Bitcoin
Simultaneously, the digital asset industry is closely monitoring applications submitted by major players, including BlackRock Inc., for the introduction of the first U.S. spot Bitcoin ETFs.
Bloomberg Intelligence predicts that a group of these funds is likely to receive SEC approval by January, significantly impacting the digital asset market.
As inflation cools down, investors are thinking the Federal Reserve won’t raise interest rates more. They’re now wondering if rates might actually go down, which is good news for global markets.
Meanwhile, this is the first time Bitcoin has gone over $40,000 in 18 months, and people are curious about what might happen next. Analysts think that news about Bitcoin ETFs could influence it to reach $50,000.
Next Huddle for Bitcoin
According to technical charts, the next resistance for Bitcoin is projected at $42,330. Observations by CrediBULL Crypto suggest that despite the ongoing upward movement, open interest (OI) remains relatively low.
A few experts even think Bitcoin could hit $60,000 before the next halving in April 2024. The crypto community is now eagerly watching as the market dynamics continue to evolve amidst these exciting developments.
