Bitcoin has crossed $106,000 as investors await the Fed’s decision this week

Bitcoin It rose to an all-time high late on Sunday as investors awaited an expected rate cut by the Federal Reserve later this week.

According to Coin Metrics, the price of the flagship cryptocurrency was last up more than 4% to $105,207.00. Before that, he set a new record with $106,509. Ether also increased by 4% and rose slightly below the level of 4000 dollars. the broader cryptocurrency market as measured by CoinDesk 20 index increased by 4%.

Shares of cryptocurrency stocks Coinbase and MicroStrategy Even after MicroStrategy’s announcement, it was little changed in premarket trading It will join the Nasdaq 100 stock index and is heavily traded QQQ ETF at the end of this month.

Bitcoin’s rise came after the tech-heavy Nasdaq Composite closed the US trading week up 0.3% on Friday. outperforms other major stock indexes.

Investors He expects the Fed to lower interest rates in a two-day policy meeting that concludes on Wednesday this week. The CME Fedwatch tool currently projects a 96% chance of a 25 basis point cut. This would likely be positive for the price of bitcoin, which trades like a tech stock and therefore benefits from low interest rates.

Low interest rates also mean a weaker dollar and an increased money supply – both of which exhibit long-term correlations with bitcoin.

Bitcoin is now up nearly 8% for the month, 50% since the US presidential election, and 145% for the year. A friendlier regulatory environment and the promise of capacity building national strategic bitcoin reserve continues to be a positive catalyst for digital assets and cryptocurrencies in general in the incoming Donald Trump administration.