Waller's Comments Send Bitcoin Prices Soaring Above $80,000
Federal Reserve Governor Christopher Waller's comments on Thursday sparked a surge in Bitcoin prices, pushing them above $80,000 for the first time since February. The price of Bitcoin (BTC-USD) rose by over 5% to around $81,000, putting it within striking distance of the resistance level around $83,000.
The increase was triggered by Waller's statement that he would support keeping interest rates unchanged if inflation continues to cool down. This announcement led to a decline in the dollar and a rise in index futures and Treasurys.
Waller's comments echoed the sentiment of Treasury Secretary Scott Bessent, who doubled planned buybacks of some longer-dated Treasurys on August 19, sparking the debasement trade. This time around, Waller used John Lennon's phrase 'Give disinflation a chance' to emphasize his support for holding rates steady.
The rally in Bitcoin was not isolated to cryptocurrency; other high-beta names such as Palantir (PLTR), Robinhood (HOOD), and Coinbase (COIN) also saw significant gains. Elon Musk's companies, SpaceX (SPCX) and Tesla (TSLA), each gained more than 5%, adding nearly $200 billion in market capitalization.