Bitcoin Breaks $80,000 as Crypto Market Shows Resilience

Bitcoin rallied to a two-week high on Friday, reaching $80,000 as other cryptocurrencies followed suit. Despite a Federal Reserve rate hike earlier in the week and the failure of the Clarity Act, which would have created a federal framework for the digital asset industry, the crypto market showed resilience. The Securities and Exchange Commission stepped in with a conditional exemption to allow trading of certain tokenized stocks on blockchains for five years.

Crypto investors seem to be anticipating at least one more interest rate increase this year, which hasn't had much impact so far. 'Crypto has absorbed a fairly aggressive hawkish repricing without much damage,' said Sean Farrell, head of digital assets at Fundstrat. The surge in Bitcoin and other cryptocurrencies appears largely technical, with derivatives traders being strongly bullish.

The US spot ETF inflows and short covering helped push Bitcoin through the psychologically important $80,000 level, according to Bitget Wallet research analyst Lacie Zhang. Other alt-coins like ether, binance, and solana have outperformed over a broader window, gaining 35%, 25%, and 41% respectively over the past month.