Bitcoin price jumped on Friday, recovering some measure of losses this week as crypto markets awaited an address by Republican presidential nominee Donald Trump at the Bitcoin Conference this weekend.
The world’s largest cryptocurrency rose 5% in the past 24 hours to $67,295.0 by 09:06 ET (13:06 GMT), recovering from lows of around $63,000 hit earlier in the week.
Bitcoin was caught up in a wave of selling pressure across global financial markets, which saw investors dump risk-driven assets. This risk-off trend was particularly damaging to crypto, given the sector’s highly speculative nature.
But this risk-off trend appeared to easing somewhat on Friday.
Analysts optimistic as Bitcoin approaches key resistance level
Some analysts are growing increasingly optimistic about Bitcoin’s price outlook following a rebound toward a critical resistance level earlier this week.
After testing the 50-day simple moving average support near $63,500, bitcoin has surged past $67,000 and is now approaching a resistance line defined by the trendline connecting the March and April highs. This descending trendline has been a significant hurdle, capping gains on Monday and previously in May, making it a key level for bulls to overcome.
Analysts suggest that a breakthrough may be imminent.
Two potential catalysts could influence this move. First, the U.S. core personal consumption expenditures (PCE) price index, the Federal Reserve’s preferred inflation measure, eased slightly from a year ago in June, helping pave the way for a widely anticipated September interest rate cut. Second, Republican presidential candidate Donald Trump’s upcoming speech at the Bitcoin conference in Nashville could play a significant role.
“Incoming PCE data could be the final nail in the coffin for high interest rates and lead to imminent rate cut announcements, while Trump’s speech at the Bitcoin conference could start a stronger rally if rumors of an announcement of a national strategic reserve for BTC come true,” analysts at digital assets advisory firm BRN, said in a note seen by CoinDesk.
These developments could propel bitcoin to new highs, analysts added.
The PCE price index rose by 0.1% in June and increased 2.5% year-over-year, according to the Commerce Department’s report on Friday. This aligns with Dow Jones estimates. In May, the year-over-year increase was 2.6%, with the monthly measure remaining unchanged.
Trump set for keynote address at Bitcoin Conference
Trump is set to appear as a keynote speaker at the Bitcoin Conference in Nashville on Saturday, with his appearance coming as the former president struck a largely pro-crypto tone in recent campaigning efforts.
Crypto traders will be largely watching to see if he maintains this rhetoric during the address, and whether he will provide plans for more regulatory clarity in the U.S. crypto industry.
Speculation over a Trump presidency had afforded Bitcoin some strength last week, especially as the Republican candidate was seen leading in approvals after a failed assassination attempt.
But Democratic frontrunner Kamala Harris, who was endorsed by President Joe Biden after he dropped out of the election race, was seen narrowing the gap with Trump, polls showed this week.
A Harris presidency is expected to potentially continue the government’s regulatory crackdown on crypto, which had rattled the industry over the past two years.
Marathon Digital buys $100 mln of Bitcoin
Marathon Digital Holdings Inc (NASDAQ:MARA), one of the biggest Bitcoin miners in the U.S., said on Thursday it had purchased $100 million of Bitcoin off the open market, and that it held over 20,000 Bitcoin tokens on its balance sheet.
The miner also vowed to retain all of its mined Bitcoin, and that it will also buy more tokens from the open market.
Crypto price today: altcoins rise, more macro signals awaited
Among broader crypto markets, altcoin prices tracked a recovery in Bitcoin, with traders also awaiting key U.S. inflation data and a Federal Reserve meeting in the coming days.
World no.2 token Ether rose 3% to $3,238.67, seeing its first positive session since the launch of spot exchange-traded funds in U.S. markets this week.
ADA and SOL rose 5% and 6.6%, respectively, while XRP dropped 3.3%. Among meme tokens, DOGE added 5% while Investing.com Shiba Inu Index rose 3.2%