Currently, Bitcoin, BTC for short is the most widely known and most highly priced crypto currency.
This article takes look at the outlook of this crypto currency in this month of October considering relevant environmental factors such as interest rate and inflation.
Overview Of Bitcoin In September 2024
September saw a number of countries announce interest rate cuts, with the most notable being the US Federal Reserve Bank’s aggressive 0.5% drop. Crypto markets initially rose after the Fed’s announcement, but a sustained rally has yet to materialise and it was largely a choppy September. October has historically been a good month for crypto – will ‘Uptober’ live up to its name? Let’s see.
September has been another up and down ride for Bitcoin, with price volatility keeping traders and analysts guessing. The month kicked off with Bitcoin trading for around $58,000, only to see a dip to just below $50,000 by 9 September. Analysts pointed to weak US employment numbers as a key factor for the negative sentiment during this time, suggesting it may have also played a role in the Fed’s aggressive rate cut that followed later in the month.
Crypto markets bounced back in the lead-up to the Federal Reserve’s first interest rate cut in four years, and momentum continued after the 0.5% cut was announced on 18 September. The price of Bitcoin surged to more than $65k for the first time in two months, while altcoins like Aave and Fantom also surged more than 20% over 30 days. Ethereum, meanwhile, is up around 5% over this timeframe.
The $65k level could be significant if it consolidates above the 200-day moving average of $63,900, as Glassnode notes. As other central banks – like South Africa’s Reserve Bank and China’s central bank – follow the Fed’s lead, the question now is whether the extra liquidity in the global economy will be enough to reignite the crypto market’s early-year momentum.
October 2024 Outlook
October has historically been a good month for crypto and this has earned the cripto nickname – ‘Uptober’ .
The big question now is will ‘Uptober’ live up to its name? Let’s watch out.