Bitcoin breaks $62k for first time since mid-August, Solana leads gains

Bitcoin’s price has risen to $62,326.36, a 4.07% increase over the past 24 hours and the highest since Aug. 27. The surge follows the Federal Reserve’s decision to cut interest rates by 50 basis points, exceeding the expected 25 basis point reduction. This action has increased liquidity in the financial system, making assets like Bitcoin more attractive and potentially weakening the US dollar.

Expectations of additional rate cuts, with benchmark rates projected to decrease to 4.4% by year-end, also support Bitcoin’s upward momentum. The success of Bitcoin exchange-traded funds (ETFs) has spurred institutional interest, contributing to price stability and growth in the market.

Gains across other major cryptocurrencies, including Ethereum, Solana, and Cardano, reflect improved market sentiment toward risk assets after the rate cut. Every non-stablecoin in the top 10 is positive on the day, as of press time.

Solana actually leads the pack up 6.9%,4, while Ethereum is just behind at 5.4%. However, Bitcoin remains closest to its all-time high by some margin. Bitcoin is just 15% off its peak, while Solana and Ethereum are 60% and 50% off, respectively.