- Bitcoin Price Recovery: Bitcoin regains momentum in October, trading above $63,000.
- Labor Report Impact: Strong U.S. job data raises uncertainty as the Fed may hold off on interest rate cuts, affecting Bitcoin.
- Top Performer in 2024: Bitcoin is up 142% in the year, outperforming Ethereum.
Bitcoin (BTC), the world’s largest cryptocurrency by market capitalization, is gaining momentum during October’s second week. After enduring a significant dip on September 30, the asset started regaining some of its losses on Sunday – and today trades above the key price of $63,000.
At this time of writing, $BTC trades at $63,289 – up nearly 5% since October 4th. Over the past 24 hours alone the asset gained 1.32% of value and could be on its way to recovering its weekly losses by the end of the day.
Bitcoin’s intraday high tested above the $64,000 zone at 10:30 AM (EDT), indicating strong bullish momentum in the market. This upward movement suggests that investor confidence is returning after recent volatility.
Positive US Labor Report Shows Uncertain Future For Bitcoin
While cryptocurrencies can certainly gain from a stable U.S. economy – as the economic stability encourages confidence in riskier assets – the recent labor report from the U.S. Bureau of Labor Statistics can also prove to be a double-edged sword when it comes to late-2024 performance for digital assets.
September’s job report reviewed an extremely positive outcome, with stronger-than-expected job growth and lower unemployment rates. September’s report disclosed that the economy created 115,500 more jobs than the expected 142,500 mark. Unemployment also fell by 0.1% while wages grew by 0.4% when compared to August’s report.
This positive result is likely to discourage the FED from issuing another 0.5% rate cut in the upcoming FOMC meeting. Ultimately the robust data indicates that the economy is overperforming – reducing the urgency for drastic rate cuts.
Bitcoin Still One The Best Performing Cryptos of The Year
The recent uptick above the $63,000 margin cements Bitcoin as one of the most profitable digital assets of the calendar year. Since January 1st, 2024 – $BTC went from $42.280 to today’s $63,289 – signaling a near 50% increase.
Over the past 365 days, the performance has been even better with a 142% increase in that timeframe. In comparison, the second most valuable cryptocurrency – Ethereum (ETH) – grew by almost a third of Bitcoin with a 47% increase during this same period.
IntotheBlock data shows that 85% of BTC holders are sitting on a profit, 5% are breaking even and only 10% have lost money. This data highlights Bitcoin’s resilience and the strong return on investment for most of its holders, even amid periods of volatility.
Looking ahead, investors await the upcoming FOMC meeting scheduled for November 6-7, as it could play a pivotal role in shaping the near-term outlook for Bitcoin and other digital assets, even with a rate cut of less than 0.5%.
