Bitcoin Hits $65K for First Time Since Early August, Renewing Investor Interest in Spot ETFs

Bitcoin

(BTC)
is
back
to
levels
not
seen
in
nearly
two
months
as
it
pushed
past
the
$65,000
mark
during
U.S.
morning
hours
on
Thursday.

The
largest
cryptocurrency
by
market
cap
traded
just
shy
of
$65,400
at
press
time,
up
2.7%
over
the
past
24
hours.
The
broader

CoinDesk
20
Index
was
higher
by
1.6%
over
the
same
time
frame,
with
Caradno

(ADA),
Avalanche

(AVAX)
and
NEAR
Protocol

(NEAR)
all
outperforming
bitcoin’s
advance,
but
ether

(ETH)
modestly
underperforming.

Bitcoin’s
rise
began
last
week
when
the
U.S.
Federal
Reserve
slashed
interest
rates
for
the
first
time
since
the
Covid
pandemic
more
than
four
years
ago,
opting
to
cut
by
50
basis
points
instead
of
the
previously
expected
25
basis
point
move.
Traders
anticipate
another
cut
to
come
at
the
Fed’s
next
meeting
on
Nov.
7,
with
current
betting
favoring
another
50
basis
point
reduction,
according
to
the

CME
FedWatch
Tool

The
more
immediate
catalyst
Thursday
for
not
just
bitcoin,
but
global
markets
in
general,
was
China,
where
authorities
are

reportedly
considering
injecting
up
to
1
trillion
yuan
($142
billion)
of
capital
into
that
country’s
biggest
state
banks
in
an
effort
to
revive
the
struggling
economy.

China’s
Shanghai
Composite
jumped
another
3.6%
and
is

on
track
for
its
best
week
in
a
decade.
European
shares
rose
about
1%
and
U.S.
stocks
are
also
in
the
green,
though
off
their
best
levels
hit
earlier
Thursday.

The
news
also
moved
prices
for
precious
metals,
with
gold
rising
to
a
record
high
above
$2,700
per
ounce
and
silver
hitting
its
strongest
level
in
12
years.

With
BTC’s
rising
price
comes
a
renewed
interest
in
the
recently
flagging
U.S.-based
spot
bitcoin
ETFs.
BlackRock’s
iShares
Bitcoin
Trust
(IBIT),
for
instance,
reported
large
inflows
on
Wednesday,
with
investors
adding
nearly
$185
million
of
fresh
money
to
the
fund,
according
to

Farside
Investors.
This
followed
an
inflow
of
$98.9
million
the
previous
day
and
comes
after
weeks
of
flows
that
were
flat
to
negative
alongside
bitcoin’s
poor
price
action.