Bitcoin surged above the $66,000 level on Wednesday for the first time since April 24, recording a massive 7% gain in the last 24 hours. At the time of writing, The price of Bitcoin was still high by 6.2%, reaching a high of $65,800.
Analysts at Swissblock have attributed the boom to bullish economic data and a general rally in the crypto market. The firm pointed out that recent US economic data, led by the Consumer Price Index and retail sales, predict Bitcoin could rise to $69,000 and potentially reach a new high of $84,000.
Swissblock’s latest market update also noted that such a breakout could lead to strong performances in altcoins.
Meanwhile, Ethereum (ETH) experienced a modest rise, trading near $3,000 with a 4% gain, while Solana (SOL) and Near (NEAR) led major crypto gains with increases of 8% and 11%, respectively.
The crypto rally was also consistent with firm gains for U.S. equities. The S&P 500 gained above 1%, hitting a fresh all-time peak, which is a clear indication that investors are again more willing to take risks following softness in the April CPI reading. That implied a modest backing off of inflation pressures, in turn raising hopes that Fed rate hikes would be slow and measured.
Also Read: Bitcoin ETF Gains Institutional Interest Amid Market Recovery
