Bitcoin and Ethereum Prices Jump 8%: How Far Can The Rally Go This Weekend?
Bitcoin (BTC), the world's largest and most popular cryptocurrency, has prolonged its strong winning streak and reached its highest level since mid-September, about 22,687. Meanwhile, the second largest cryptocurrency Ethereum (ETH), is also experiencing a significant rise as It has increased by roughly 7% to $1,656, reaching a four-month high.
The rally for ETH could be attributed to the risk-on sentiment in the cryptocurrency market, which has supported all digital coins, including BTC and ETH.
Despite news that Genesis Global Holdco LLC, the company that owns cryptocurrency lender Genesis Global Capital, has filed for Chapter 11 bankruptcy, the cryptocurrency market has continued to rise. This might be because investors had already priced in the company's impending issues.
It's worth recalling that the Genesis company was affected by the aftermath of the failures of the crypto exchange FTX and, more recently, the crypto hedge fund Three Arrows Capital, which both occurred in late June.
The global cryptocurrency market extended its upward trend and broke beyond the $1 trillion barrier once again. However, the recent uptick might be linked to institutional investors who have been long-term holders of the largest digital asset.
This increased demand for Bitcoin has driven up the price of the coin.
Another factor supporting the cryptocurrency market is the increased likelihood that the Federal Open Market Committee (FOMC) will only raise rates by 25 basis points (0.25 percentage points) at its upcoming meeting in February, easing from the 50 basis point increases seen in December.
According to the CME FedWatch tool, the Federal Open Market Committee (FOMC) is now forecast to raise rates by only 25 basis points (0.25 percentage
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