Bitcoin (BTC) has set another milestone alongside the all-time high of the US stock market. Expectations of interest rate cuts by the US central bank and the economic policy of President Donald Trump are spreading optimism throughout the cryptocurrency market.
On the 10th (local time), Bitcoin price recorded a new all-time high, surpassing $123,231 on Coinbase. On the same day, the S&P 500 index also reached a record high of 6,457 points. This is interpreted as a positive impact on risk assets due to slowing inflation and interest rate cut prospects.
The US Department of Labor announced the day before that the July Consumer Price Index (CPI) rose 2.7% compared to the same period last year. This is lower than the market expected 2.8% and remains at the same level as June. The month-on-month increase was 0.2%, slowing down from 0.3% in June. Accordingly, the possibility of a rate cut at the September Federal Open Market Committee (FOMC) has risen to as high as 93.9%, according to the CME's FedWatch tool.
Market experts analyze that the Federal Reserve's interest rate cuts and quantitative easing have historically had a positive impact on Bitcoin prices. Additionally, the economic policy proposed by President Trump through the 'One Big Beautiful Bill' is expected to lead to expanded fiscal spending, inflation stimulation, and spread of risk appetite, fueling investment sentiment.
Inflows into Bitcoin and Ethereum (ETH) spot ETFs are also one of the key factors stimulating buying pressure. According to the British investment firm Parsifal Investors, $65.9 million was net inflows into the Bitcoin ETF the day before, while the Ethereum ETF surged to $523.9 million.
Particularly, on Tuesday alone, the Ethereum ETF attracted attention with its first-ever $1 billion inflow. While the Bitcoin ETF's inflow has somewhat slowed down, the cumulative inflow since last Friday has reached $1.02 billion. The strength of Ethereum is further heightening investment sentiment across altcoins, including Bitcoin.
Currently, the market is experiencing strong buying pressure across top market cap coins, with expectations for risk assets and policy benefits overlapping. With inflation stabilization, upcoming interest rate cuts, and President Trump's generous fiscal policy, the upward trend of the cryptocurrency market, including Bitcoin, is likely to continue for the time being.
Real-time news...Go to Token Post Telegram
<Copyright โ TokenPost, Unauthorized Reproduction and Redistribution Prohibited>
