Bitcoin looking up again as optimism also returns to stock markets

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Last Updated on 19 May 2024 by CryptoTips.eu

There are reports of a possible new golden cross being posted on the graph next week (on the 12-hour chart) for Bitcoin, there is some surprisingly lower US inflation (we didn’t see that coming) and then there’s a new record for the Dow Jones.

All this ensures that optimism has returned both for crypto and the global stock exchanges after a rather gloomy period which started right after the halving in April.

Solana is trading at $170 again (after rising 20% this week) while other altcoins from the CoinMarketCap top 10 are also doing well.

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40,000

The American stock exchange Dow Jones set a new record on Friday evening. It closed above 40,000 points for the first time. Although this is mainly psychologically important, you cannot ignore the fact that optimism returned to the markets this week, both crypto and classic stocks. After a very good first three months of the year, the stock markets (just like Bitcoin) clearly got sidetracked in April.

The uncertainty about an upcoming interest rate cut by the Federal Reserve, US inflation that refused to drop below 3% and the uncertainty about who will become president of the United States from next year (Biden or Trump) brought back doubts to investors.

In the crypto markets we saw a clear decline in the first weeks of April (after an all-time record high of $74,000 was posted by Bitcoin in mid-March) prior to the halving.

Inflation

For crypto, the turning point came in early May when Bitcoin found support around the $58,000 level (which is historically already a very high level), for the stock markets the turning point came this week, when US inflation dropped a tiny bit.

Bitcoin is now trading around $67,000 and looking up. The American stock markets are hitting records. It might just turn into a nice summer after all if the Federal Reserve does what investors expect and announces that long awaited an interest rate cut.

Jeroen Kok

Jeroen is one of the lead copywriters on Cryptotips.eu and discusses all recent events in the crypto market. This includes news updates, but also price analyzes and more. He developed his passion for cryptocurrency during the bull run in 2017. He has learned a lot since then. The combination of cryptocurrency and creative writing is perfect for Jeroen and an excellent way to share his knowledge with a wide audience. Find me on LinkedIn / [email protected]
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