Bitcoin's resurgence past the $100,000 threshold has been fueled by a favorable inflation report, which has bolstered expectations for upcoming Federal Reserve interest rate cuts. The consumer price index's consistent rise has led traders to anticipate a quarter-point rate cut, enhancing the appeal of risk assets like cryptocurrencies. This environment has spurred renewed investor interest in Bitcoin, as lower interest rates typically drive investors toward higher-yielding assets. The broader market's positive momentum, with tech stocks rebounding and commodities like crude oil and gold gaining, further supports Bitcoin's upward trajectory.
The 2x Bitcoin Strategy ETF (BITX) experienced a notable increase, rising 9.65% to $63.96 as of 16:20 on Wednesday, December 11.