The global crypto market started the new week positively, showing major signs of a potential bull market. After months of exhibiting high volatility, the price of Bitcoin is now chasing the $70k mark at $69,541, with hopes of an even further movement to its previous all-time high. The excitement has rubbed off on the altcoin market, with Ethereum gaining almost 5% in one day and trading near the $3,400 zone.
Other major altcoins have also shown impressive trajectories in the last 24 hours. As a result, the total market cap has added 3.15%, resting at $2.47 trillion. With this, market participants are curious about the sudden upswing and ask, “Why is the crypto market up today?” Let us look at some of the reasons below.
Reason Why Bitcoin and the Crypto Market Surged Today
According to observations, several factors impacted the price of cryptocurrencies in the market. Some of the key factors include;
Inflation ease before Fed meeting
Recent statistics show that the inflation rate in the United States has eased up ahead of the Fed meeting scheduled for July 30 and 31. The inflation reduction is a key factor that not only affect the crypto market but also the general finances. With the decrease in inflation, citizens are expecting the Federal Reserve to carry out rate cuts.
Such economic measures often boost investments in highly volatile assets like cryptocurrencies. The lower the interest rates, the lower the cost of borrowing which can, in turn, drive more investment funds into the market. As the meeting approaches, market participants are keenly waiting on the Federal Reserve updates on rate cuts.
Trump Makes Heavy Promise at the Bitcoin Conference
During the recently concluded Bitcoin Conference in Nashville, Donald Trump, a pro-crypto presidential candidate, restated his commitment and his plans for the crypto community if he wins the election scheduled to be held on November 5. According to him, he intends to make the United States the “crypto capital of the planet” and also cement it as a “Bitcoin Superpower.”
Trump has always been vocal about his support for the flagship cryptocurrency, Bitcoin, emphasizing in a previous statement that he wants all the remaining Bitcoin to be “made in the USA,” Such backing from a major candidate has catalyzed the price upswing we are seeing today. Additionally, Trump promised to remove the current SEC chairman, Gary Gensler, on his first day in office and replace him with a more crypto-friendly figure.
Conjectures for the new SEC chairman role have flooded the community, as members speculate that Dan Gallagher, Robinhood Chief Legal Officer (CLO), might occupy the position upon Trumps’ victory.
Increased Crypto Whale Activities
Another factor that can be attributed to why Bitcoin and the crypto market are up today is the increased whale activities observed over the weekend. According to data from Unusual Whales, a crypto large transaction tracker, significant whale activities have been recorded, amassing sizeable amounts of cryptocurrencies within the recorded time.
Source: UnusualWhale
These large investors, commonly known as whales, usually influence market movements when they accumulate staggering amounts. These accumulations are interpreted as increased confidence in the future trajectory of cryptocurrencies. Consequently, it sends a bullish signal across the market, influencing other smaller investors to open positions with hopes of an imminent rally.
The post Here is Why Bitcoin and the Crypto Market is Up Today appeared first on Coinfomania.
