Oct 25 2024: Bitcoin’s price held steady around $67,000 on Friday, while broader crypto markets faced declines due to reduced risk appetite amid uncertainties surrounding the tight U.S. election and high-interest rates.
The leading cryptocurrency was on track for a weekly loss after failing to break a critical resistance level, with limited positive market signals impacting its performance.
As of 01:15 ET (05:15 GMT), Bitcoin rose 0.4% to $67,388.
A notable factor adding potential volatility to the market is the expiration of Bitcoin options worth $4.2 billion later today.
Bitcoin on Track for Weekly Loss
The cryptocurrency was set for a 1% weekly decline after struggling to breach the psychologically significant $70,000 mark—a milestone that many believe would signal a bullish turn for crypto markets.
Initial enthusiasm for Bitcoin was fueled by rising odds of a Donald Trump win in the upcoming presidential race. However, as projections tightened between Trump and Democratic candidate Kamala Harris, enthusiasm waned.
Speculation over a Trump presidency also strengthened the dollar, putting pressure on crypto markets as traders anticipated more inflationary policies under his leadership. The dollar’s strength was further supported by expectations that the Federal Reserve may maintain higher interest rates longer than anticipated—a scenario less favorable for speculative assets like cryptocurrency.
The ongoing election uncertainty has kept investors cautious, with many favoring safe-haven assets such as the dollar and gold, the latter reaching a record high this week.
Altcoin Performance: Solana Leads While Major Coins Slip
Broader crypto markets saw a decline on Friday, with most major altcoins trading in a flat-to-lower range. Ethereum, the second-largest cryptocurrency, dropped 2.3% to $2,497.84, and was expected to experience additional volatility due to the expiration of $1 billion in options later in the day.
While most altcoins faced weekly declines, Solana emerged as a standout performer, up 8.7% this week. The token’s gains were driven by increased blockchain activity, particularly from memetokens associated with artificial intelligence, putting Solana well ahead of the broader market.
Other altcoins, including ADA, MATIC, and XRP, experienced declines on Friday. Among popular memecoins, DOGE rose by 0.6%.
