The cryptocurrency market witnessed a significant surge today, spurred by China’s announcement of an $800 billion bond issuance designed to stimulate economic growth and stabilize its struggling property market. This bold initiative has enhanced investor sentiment worldwide, resulting in a substantial influx of capital into cryptocurrencies.
Complementing the positive developments from China, the market also benefited from Vice President Kamala Harris’s commitment to regulating cryptocurrency and digital assets. In a speech delivered on Monday, Harris expressed her vision for an “opportunity economy,” stating, “We will build a future where we have what I call an opportunity economy, where everyone can compete and have a real chance to not just get by, but to get ahead.”
While Harris did not specifically mention digital assets during her address, a campaign release indicated that the Harris-Walz team is dedicated to creating a regulatory framework aimed at protecting Black men who invest in and own cryptocurrencies. The campaign highlighted that over 20% of Black Americans currently own or have previously owned cryptocurrency assets, emphasizing the necessity for protections to ensure these investors can thrive in a well-regulated environment.
In response to these dual positive news events, Bitcoin and Ethereum experienced remarkable inflows into exchange-traded funds (ETFs), totaling $800 million within just two days. At press time, Bitcoin rose 6.5% to reach $65,658, having crossed the $66,000 mark earlier on Tuesday. Meanwhile, Ethereum outperformed Bitcoin with an impressive 8.1% gain, currently trading at $2,617, according to CoinMarketCap data.
Valentin Fournier, lead analyst at BRN, noted that the bond issuance is anticipated to improve liquidity in global markets, a trend historically favorable to Bitcoin. He pointed out that institutional investment has played a critical role in this upward momentum, suggesting a potential breakout from a recent downward trend.
“This strong momentum needs further confirmation. For them to enter a true acceleration phase, they must break through the upper end of their current trading range—$68,000 for BTC and $2,750 for ETH,” Fournier advised.
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