According to data, the price of bitcoin increased 4.6% to $28,418.61. To trade at $1,822.70, ether gained 4.9%. To determine where bitcoin might move next, chart watchers are waiting for its second consecutive weekly close over $25,200.
Bitcoin increased along with other risky investments. After a sell-off caused by the Fed on Wednesday, when it increased its key lending rate by another basis point and hinted that its inflation-fighting rate hikes may be coming to an end, all three main stock indices were up on Thursday. At the day’s end, stocks and cryptocurrencies had fallen.
According to Sylvia Jablonski, CEO and Chief Investment Officer of Defiance ETFs, traders were considering the information from the central bank‘s most recent policy meeting and reconciling uncertainty with opportunity.
According to Jablonski, The Fed did what the market demanded and hinted that continued rate hikes may not be necessary while also acknowledging the deflationary impact that the recent bank failures would bring towards inflation reduction. Risk and growth assets, such as tech stocks and cryptocurrencies, should benefit from the Fed’s potential delay. In other words, there is still uncertainty around monetary policy and how rates will affect the economy and whether or not a recession will occur.
The news of what Oppenheimer called a “unhealthy regulatory climate” in the cryptocurrency industry also seemed to be ignored by the market. The Securities and Exchange Commission sent a Wells notice to Coinbase late on Wednesday, alerting the startup that it might have broken securities laws. The SEC published an investor alert on crypto assets on Thursday.
First Republic Bank, which is now being used as a gauge for the state of American banking, fell another 6% on Thursday, bringing the decline in the month to far to 90%.
