Bitcoin climbs to $61.7k as Fed minutes hint at rate cut in September

Bitcoin (BTC) is backmost supra $61,000 aft leaping 3.5% successful the past 24 hours, fueled by the merchandise of bullish Fed minutes related to the July gathering connected Aug. 21.

Ethereum (ETH) followed with 1.5% maturation successful the aforesaid period, portion Solana (SOL) remained successful the reddish for the time — down 0.6% arsenic of property time.

The minutes’ summary doubles down connected Fed Chairman Jerome Powell‘s caller remarks astir a apt involvement complaint chopped if marketplace information continues to travel successful enactment with expectations. The papers reads:

“The immense bulk observed that, if the information continued to travel successful astir arsenic expected, it would apt beryllium due to easiness argumentation astatine the adjacent meeting.”

Notably, the papers besides hints astatine a 25 ground points (bps) complaint chopped owed to “recent advancement connected inflation” and “increases successful the unemployment rate.” This would bring the involvement complaint benchmark to 5% from the existent 5.25%.

The quality is affirmative for crypto and different hazard assets, arsenic the simplification successful enslaved yields makes them much attractive. 

The equity marketplace besides reacted positively to the Fed minute, with the S&P 500, Nasdaq, and Dow Jones closing the time with affirmative movements of 0.42%, 0.57%, and 0.14%, respectively.

Interestingly, the likelihood of a 25 bps chopped fell to 72% from 77% connected Polymarket pursuing the Fed minutes, portion the likelihood of a 50 bps oregon much roseate to 22% from 18%.

US elections could perchance clasp prices down

Despite the imaginable bullish result successful September, Bitfinex analysts judge the astir important communicative impacting crypto markets is the upcoming US statesmanlike elections.

According to the analysts:

“As Democrat nominee Harris has seen an summation successful likelihood of winning to astir adjacent Republican nominee, erstwhile President Trump’s odds, it induces uncertainty successful markets, particularly crypto.”

After falling 10% beneath Vice President Kamala Harris’ likelihood of winning the election, erstwhile President Donald Trump’s odds recovered to 52% connected Polymarket and are present 5% up of the Democrat campaigner whose likelihood person fallen to 47%.

However, contempt the predetermination result remaining uncertain, Bitfinex analysts judge that the marketplace volition retrieve if Trump’s likelihood person already bottomed.

 

The station Bitcoin climbs to $61.7k arsenic Fed minutes hint astatine complaint chopped successful September appeared archetypal connected CryptoSlate.