Bitcoin Surges Past $85,000 as Risk Appetite Returns to Crypto Market
Bitcoin surged past $85,000 for the first time in roughly eight months, prompting expectations that the prolonged crypto market downturn may be over. On October 21st, Bitcoin rose 5.75% over the prior 24 hours to $85,895, while Ethereum climbed 4.55%. According to Bitwise CIO Matt Hougan, 'I think winter is over and spring flowers are blooming.' He predicted that this bull market will be the strongest and longest-lasting in crypto history.
The rally is being attributed to falling international oil prices and optimism ahead of the U.S.-China summit. Hougan also raised the possibility that capital previously concentrated in AI could rotate into cryptocurrencies, as AI trading stabilizes somewhat. The current price remains more than 30% below the all-time high of $126,210.50 set on October 6 last year.
South Korea's stock market also rode the tailwind from Wall Street. The KOSPI surged past 7,100 in early trading, powered by a sharp rally in U.S. stocks. Semiconductors were particularly strong, with AMD soaring about 10% and pushing its market capitalization past $1 trillion.