Bitcoin moves higher as US stocks log in gains

Bitcoin rose on Friday on track for the second straight day, almost hitting two-week highs as risk appetite dominates the markets. 

US 10-year treasury yields on the other hand lost ground following weak labor data, which boosted the odds of an early Federal Reserve interest rate cut in the summer. 

Price

Bitcoin rose $804, or 1.3% at Bitstamp to $63,876, with a session-low at $62,675, after closing up 3% on Thursday, the first profit in four days away from one-week lows at $60,634. 

The world’s most valuable cryptocurrency marked a two-week high on Monday at $65,513 before entering another downward correction.

Crypto Market Value 

The market value of cryptocurrencies rose by $30 billion on Friday to $2.365 trillion as both ethereum and bitcoin powered up.

US Stocks 

Wall Street rallied on Thursday with Dow Jones marking five-week highs following strong earnings results by major banks and other corporations, which improved the odds of a Fed September rate cut. 

US Treasury Yields 

US 10-year treasury yields fell 0.3% on Friday, almost touching a four-week low at 4.420%, in turn boosting risk appetite in the market. 

The developments came after weak US unemployment claims data this week, which edged up the odds of a Fed rate cut in the summer. 

US unemployment claims rose by 22,000 last week to 231,000, passing estimates of 212,000 by a wide margin.

These are the worst results in 2024, and a potential sign of a slower labor market. 

Following the data, the odds of a Fed 0.25% interest rate cut in June rose to 9%, and to 21% for July, and to 70% for September. 

According to the Fedwatch tool, investors are now expecting two Fed interest rate cuts overall this year.