Bitcoin ‘bear market rally continues’ after BTC price jumps to $23.4K

cointelegraph.com:

Bitcoin (BTC) consolidated higher into July 28 after United States monetary policy changes fueled optimism in risk assets.

Data from Cointelegraph Markets Pro and TradingView showed BTC/USD climbing to highs of $23,452 on Bitstamp overnight.

The pair had reacted strongly to the latest Federal Reserve key rate hike, despite this conforming to market predictions. Subsequent comments from Fed Chair Jerome Powell added to the breakout’s momentum.

“I think the reason this is providing some relief to the equity market is the Fed is acknowledging that there can be an impact on growth, to the economy, based on their policy,” Gargi Chaudhuri, head of asset management giant BlackRock’s iShares investment strategy Americas, told CNBC:

Crypto commentators had already predicted that the Fed would find itself stuck between two stools in the form of forty-year-high inflation and the risk of a recession arising from fighting it.

“Who's outperforming here? Nasdaq & Crypto,” Alf, creator of the Macro Compass Newsletter, wrote in part of a Twitter summary of the week’s events:

Finally, what's the bond market saying?We priced away some hikes between now and December, and this is how we are left:- 50 in Sep- 25 in Nov- 25 in DecDONE- 50 bps of cuts in 2023A higher likelihood that ''peak Fed hawkishness'' is behind us.12/ pic.twitter.com/HyvXvnBf6P

He noted that forthcoming rate hikes were not being priced in as beating or even equalling the 75-basis-point July move, contributing to “a higher likelihood that ‘peak Fed hawkishness’ is behind us.”

When it comes to BTC price action, commentators were thus cautiously optimistic while waiting for the last remnants of volatility to clear the market.

Related: Price analysis 7/27: BTC, ETH, BNB, XRP, ADA,