Bitcoin hits $30,000 for first time since June 2022 as investors eye end of interest rate rises

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Bitcoin, the largest cryptocurrency by market value, climbed above the key $30,000 level for the first time since June 2022, rallying more than 80 per cent since the start of the year, as investors raised bets that the US Federal Reserve will soon end its aggressive monetary tightening campaign.

The token rose as much as 2 per cent to $30,262. Bitcoin has gained about 6 per cent since the start of the month, after rising 23 per cent in March. Still, Bitcoin is down more than 50 per cent from its all-time high in November 2021.

“The rise of Bitcoin is a clear indication that the current banking crisis has sharpened the focus on the importance of decentralized finance. The latest Bitcoin rally is expected to uplift the sentiments of the crypto community across the globe and the Ethereum Shanghai upgrade which is scheduled to go live tomorrow, is adding to the euphoria around digital assets," said Om Malviya, President at Tezos India.

“Bitcoin-related stocks are also witnessing an upward trend owing to the BTC rally and the momentum is expected to continue if the macroeconomic factors remain favourable. As we approach Bitcoin halving which is due in May 2024, we can expect the BTC price to rise further," Malviya added.

Bitcoin's surge follows Friday's closely-watched US nonfarm payrolls report that showed employers maintained a strong pace of hiring in March, pointing to a still-resilient economy.

However, banking sector turmoil sparked by last month's collapse of Silicon Valley Bank has raised market expectations that the US Fed is unlikely to lift interest rates much higher for longer as it looks to ease stress on the sector.

"The reason behind the broad-based rally in crypto is traders' optimism toward central banks'