Bitcoin Touches USD 79,463.71 Amid Rally Towards USD 80,000

Bitcoin is nearing the USD 80,000 mark after gaining momentum over the past week. The cryptocurrency has been supported by ETF inflows, regulatory optimism, and institutional demand, despite remaining 38.5 per cent below its all-time high of USD 126,198.07.

Rajagopal Menon, Vice President at WazirX, attributed the rally to regulatory clarity, liquidity, and institutional buying power. He noted that improved regulation has led to increased liquidity, which in turn attracts more institutional investors.

Prateek Gupta, Head of Business at Mudrex, described Bitcoin's move towards USD 80,000 as a recovery rather than a fresh breakout. According to him, the recent gains are driven primarily by growing expectations of Fed rate cuts following softer inflation and employment data.

The latest rally has also been fueled by positive ETF flows, with around USD 1.5 billion in net inflows across 13 trading sessions in August. However, experts caution that regulatory clarity, liquidity, and adoption will determine the long-term sustainability of the recovery.