AI-Related Cryptos Lead Altcoin Surge; Bitcoin Breakout Nears with Several Catalyst in Q4: Analyst

Artificial
intelligence-related
cryptocurrencies
led
the
crypto
rally
on
Monday
as
altcoins

continued
to
shine
relative
to
bitcoin

(BTC).

Native
tokens
of
layer-1
blockchain
Near

(NEAR)
and
decentralized
computing
platform
Render

(RNDR)
advanced
18%-20%
over
the
past
24
hours.
They
were
the
fastest
horses
within
the
broad-market
benchmark
CoinDesk
20
Index,
which
gained
1.5%
during
the
same
period.

Decentralized
machine
learning
protocol
Bittensor
(TAO)
climbed
17%
during
the
same
period,
while
Livepeer
(LPT)
added
to
its
gains
after
Barry
Silbert,
CEO
of
crypto
investment
firm
Digital
Currency
Group
(DCG),
called
the
token
“under
the
radar
crypto
AI
play”
in
an

X
post.
The
token
is
a
constituent
of
the
Grayscale
Decentralized
AI
Fund,
issued
by
DCG’s
asset
management
subsidiary.

Bitcoin,
meanwhile,
was
lagging
with
a
less
than
1%
gain,
battling
to
reclaim
the
key
200-day
moving
average
at
just
below
$64,000.
Ethereum’s
ether

(ETH)
showed
relative
strength
with
a
3.5%
return.

Another
notable
outperformer
was
blockchain
data
availability
project
Celestia’s
native
token

(TIA),
up
12%
Monday
with
news
about
its
ecosystem
development
organization
Celestia
Foundation

raising
$100
million
investment
led
by
Bain
Capital
Crypto.
The
price
action
was
perhaps
buoyed
by
Democratic
nominee
Kamala
Harris
reportedly

saying
at
a
fundraiser
event
that
she’ll
be
a
tech-friendly
president
and
will
“encourage
innovative
technologies
like
AI
and
digital
assets.”

A
check
on
traditional
markets
saw
gold
breaking
new
record
prices
with
stocks
edging
higher,
adding
to
their
gains
since
the
Federal
Reserve

lowered
interest
rates
by
50
basis
points
on
Wednesday.

It
was
likely
the
first
of
many
more
cuts
through
next
year,
Chicago
Fed
President
Austan
Goolsbee

said
on
Monday.
“Over
the
next
12
months,
we
have
a
long
way
to
come
down
to
get
the
interest
rate
to
something
like
neutral,”
Goolsbee
said.
The
Fed’s
economic
projection
showed
the
neutral
rate
at
close
to
3%.

Rate
cuts
brought
bitcoin’s
price
lower
in
2019,
but
they
might
be
bullish
this
time
if
they
happen
due
to
inflation
cooling
towards
2%
instead
of
economic
weakness,
Markus
Thielen,
founder
of
10x
Research,
said
Monday
in
an
interview
with
CoinDesk
Markets
Daily.

Thielen
predicted
BTC
breaking
out
to
new
all-time
highs
in
the
last
quarter
of
the
year
from
its
six-month
sideways
move,
citing
several
catalysts
to
fuel
the
rally.

Months
between
October
and
March
are
historically
the
strongest
period
for
bitcoin,
responsible
for
most
of
the
gains
over
the
year.

The
FTX
estate
may
redistribute
some
$16
billion
of
assets
to
creditors
in
the
next
months,
with
a
part
of
those
funds
flowing
back
to
the
crypto
assets,
Thielen
said.

The
SEC
last
week
approved
listing
options
for
BlackRock’s
spot
bitcoin
ETF
(IBIT),
a
positive
move
that
paves
the
way
to
launch
more
financial
instruments
around
the
ETF
and
eventually
bring
more
institutional
liquidity
to
the
leading
asset.

While
many
crypto
investors
see
uncertainty
about
who
will
be
voted
for
the
next
U.S.
president
in
November,
Thielen
said
that
the
election
“doesn’t
really
matter”
because
government
spending
and
deficits
will
continue
to
rise,
benefitting
BTC.