Aug 9 2024: Bitcoin prices climbed on Friday, reaching $60,916.2, bolstered by a broader rally in risk-driven markets following positive U.S. labor market data. The cryptocurrency surged nearly 7%, peaking at $61,712.3 before pulling back slightly.
The world’s largest cryptocurrency was poised for modest weekly gains after a more than 10% drop the previous week. Bitcoin had fallen to around $49,000 on Monday during a broad market downturn but has since recovered much of those losses.
The rebound comes as recession fears and concerns over potential rate hikes ease. The recent rally in broader markets, especially equities, was supported by better-than-expected weekly jobless claims data, which eased worries about an imminent U.S. economic slowdown.
Additionally, less aggressive statements from Bank of Japan officials helped improve risk appetite. Following last week’s interest rate hike and indications of further increases, BOJ officials clarified that they would not raise rates during periods of market volatility, boosting market sentiment. The yen’s decline also indicated a recovery in risk appetite.
Crypto Market Update: XRP, Altcoins Surge
In the broader cryptocurrency market, XRP experienced a dip after a sharp rally the previous session. Ripple Labs, the issuer of XRP, was fined $125 million by the SEC in a protracted lawsuit. Although the fine was significantly lower than the $2 billion originally sought by the SEC, Ripple also received an injunction requiring it to register any future security sales. The case did not resolve the ongoing debate over whether crypto tokens qualify as securities, and the SEC may appeal an earlier ruling regarding XRP sales to retail investors.
Excluding XRP, other altcoins surged alongside Bitcoin. Ethereum (ETH) increased by 10.6% to $2,681.80. Solana (SOL) and Cardano (ADA) saw gains of 1.5% and 3.6%, respectively, while Dogecoin (DOGE) rose by 4.7%.
