Bitcoin Defies Odds with Resilient Recovery Above $80K
Bitcoin (BTC) has faced significant challenges this week, but it's surprising to see the cryptocurrency holding strong above $80K. The US CPI data was released last week, and investors were waiting for the Fed's key FOMC meeting.
The CLARITY Act vote in the US Senate failed on Tuesday, followed by a rate increase from the Fed, which marked its first hike in over three years. On September 18, Japan also raised its interest rates to a 31-year high.
Despite these setbacks, Bitcoin dipped to a multi-week low of $75,000 but then rebounded strongly. Over 23,000 BTC were sent to exchanges at a loss after the vote, which was described as a major capitulation event by CQ.
Crypto analysts argue that the recent recovery was not dependent on the bill's passage and that some events were already priced in beforehand. The resilience of Bitcoin is seen as a positive sign, but the cryptocurrency still has a long way to go before it can be considered part of a new bull market.