Bitcoin Recovers After Japan Raises Interest Rates
Bitcoin is heading towards the 88,000 USD mark after Japan raised interest rates to 0.75% - the highest in 30 years! Although this typically has a negative impact on risky assets, BTC has shown incredible resilience, rising 2.5% contrary to predictions.
Looking at recent price fluctuations, Bitcoin has experienced volatility with a drop to 84,390 USD but has since recovered well. The 4-hour chart shows BTC rising from around 84,458 USD to the current level near 88,265 USD.
Experts like Arthur Hayes remain optimistic, stating that Japan's move will not lead to further interest rate hikes until 2027 due to economic constraints. The market seems to be "forming a bottom," with the 81,000 USD level (the cost basis for US Bitcoin ETFs) serving as a crucial support level.
With a positive seasonal trend typically supporting the second half of December and improved sentiment, Bitcoin may continue its rally as we close out this year!
The content is informational and analytical, not investment strategy advice.