Bitcoin flirts with $65K, maintains one-month high for these reasons
Bitcoin price fell slightly on Monday as the weekend rally ran out of steam, although growing optimism about interest rate cuts kept the cryptocurrency trading near its highest level in a month.
After Federal Reserve Chairman Jerome Powell said the bank is preparing to cut interest rates. A weaker dollar, which fell to a 13-month low, also supported cryptocurrency prices.
Bitcoin is down 0.5% to $63,676.3 at 10:10 Riyadh time, while Ethereum is down 0.76% at $2,733.9. Bitcoinâs recent bearish sentiment is attributed by some to market turmoil and the growing strength of the Japanese yen, which has surged sharply on the back of monetary tightening by the Bank of Japan.
Bitcoin supported by rate cut bets
Markets are now preparing for a September rate cut, but are divided over whether to cut rates by 25 or 50 basis points, according to FedWatch.
This week, the Federal Reserveâs preferred inflation gauge, the personal consumption expenditures (PCE) data, is due and will likely determine the course of any rate cuts.
