- The leading crypto markets seem to be slowly gaining bullish momentum. Here is the possible reason behind the rise!
Bitcoin got its investors excited, taking back the $20,000 level on October 4. The leading crypto-asset appears to be gradually gaining bullish momentum following hopes that the US Fed will move away from liquidity withdrawal measures.
Bitcoin, the largest cryptocurrency by market cap, reached as high as $20,262 and is currently trading at $20,082, up 4.69% in the last 24 hours. XRP was the top earner among the top 10 cryptocurrencies by market cap, gaining over 6%.
Buyers stepped in following expectations that the Fed and other major central banks would slow tightening amid warnings that it could plunge the global economy into recession.
here we go pic.twitter.com/vXC4ZEFzxz
— Will Clemente (@WClementeIII) October 3, 2022
The Wall Street Journal warned that the world economy could enter a recession followed by a prolonged recession if the Federal Reserve and other central banks continue to raise interest rates.
The United Nations Conference on Trade and Development, in its annual report on the state of the world economy, warned the Fed not to continue the current rapid rate hikes.
However, some market watchers are unconvinced that the Fed will abandon or significantly slow down liquidity tightening anytime soon, and they expect the dollar to strengthen again.
You can follow the current price action here.
Disclaimer: What is written here is not investment advice. Cryptocurrency investments are high-risk investments. Every investment decision is under the individual’s own responsibility. Finally, Koinfinans and the author of this content cannot be held responsible for personal investment decisions.