Bitcoin and Altcoins: Weekly Summary of Cryptocurrencies
Bitcoin (BTC) has experienced major disruptions despite positive macro developments.
October is nearing its end, but despite all the hopes and big bullish expectations and the Federal Reserve's interest rate cuts, the cryptocurrency market is still declining at its end.
But first, let's go back to the end of the previous work week when Bitcoin recovered from its drop to $106,000 and stabilized at a level close to $110,000 (once again). It entered the weekend at these levels and did not see any significant increase until Sunday afternoon. However, as soon as U.S. Secretary of State Blinken hinted at a potential trade agreement between Washington and Beijing, Bitcoin aggressively surged past $113,000 on the same day.
It continued to rise on Monday and Tuesday, surpassing a peak of $116,000. However, it faced immediate and strong rejection at that point, causing it to drop below $113,000 almost immediately. On Wednesday, all eyes turned to the U.S. Federal Reserve, as the U.S. central bank lowered the key interest rates by 25 basis points as expected.
Nevertheless, this did not have any positive impact on Bitcoin. On the contrary, the value of the digital currency dropped by several thousand dollars in the following 12 hours, reaching below $108,000. Other positive news on the macroeconomic front came out on Thursday morning, as Trump reduced the overall tariffs on China to 47%, hinting at a more impactful trade agreement in the works.
Bitcoin immediately surged past $111,500 in the following few hours. However, this rise did not last long either, as its value dropped the next day, retreating to below $106,500 by Thursday afternoon. It has managed to regain some strength since then, and is currently testing a resistance level at $110,000.
