Will the Bitcoin Price Rally Continue?
Bitcoin briefly surpassed $93,500, reaching a new monthly high due to easing trade war fears and changing U.S. monetary signals. Investor sentiment improved following conciliatory remarks from U.S. officials and President Trump's softened stance on Federal Reserve Chair Jerome Powell. This led to a broader market rally, with Bitcoin gaining 4.7% and gold experiencing volatility, initially rising to $3,500 before dropping to $3,300. Analysts noted that gold's movements often precede Bitcoin's, suggesting a potential capital rotation towards Bitcoin as a store of value amid rising inflation expectations. The Federal Reserve's upcoming interest rate decision and U.S.-China fiscal negotiations are expected to influence Bitcoin's trajectory. Despite the surge, some traders express caution due to high funding rates and declining on-chain activity, though the macroeconomic outlook appears favorable for Bitcoin.
