Bitcoin enthusiasts rejoice as the cryptocurrency begins “Uptober” with a strong surge, surpassing $28,000. This rally coincides with a quiet US macro scene, as a government shutdown is averted.
Surge Past $28,000 Sparks Optimism
As October begins, Bitcoin jumps 5%, briefly reaching $28,488, its highest weekly close since mid-August. Market analysts and crypto enthusiasts are optimistic.
Trader Michaël van de Poppe suggests an upward trend, with potential for retracement. Altcoins may catch up during Bitcoin’s consolidation phase, setting the stage for an intriguing Q4 2023.
October’s promising start contrasts with last year’s performance. Historical data favors Bitcoin bulls in October, adding merit to the “Uptober” tag.
On the macroeconomic front, US data starts October quietly. The government shutdown is avoided, and Federal Reserve speeches will be monitored ahead of the November 1 FOMC meeting.
Financial commentator Ted Talksmacro notes a divergence between US dollar liquidity and BTC/USD, suggesting a sideways or upward trend for Bitcoin in the coming years.
Bitcoin’s mining difficulty is projected to drop by 0.7%, despite bullish sentiments. This shift occurs amidst fierce mining competition and record-high hash rates.
Bitcoin’s promising start to “Uptober” against a subdued US macro scene indicates independent market dynamics. With Federal Reserve deliberations and ongoing miner engagement, October’s journey will be closely observed.