Bitcoin surged to $64,700 on Wednesday, inching closer to the much-anticipated $65,000 mark after a series of gains. This rally, Bitcoin’s seventh in the last eight sessions, comes on the heels of a Federal Reserve interest rate cut that has sparked optimism in the market.
The U.S. Bitcoin spot ETF market saw significant activity, with total inflows reaching $136 million on September 24.
Notably, BlackRock made headlines by purchasing 1,547 Bitcoins, a move that likely contributed to Bitcoin’s price boost. Other major funds such as Fidelity’s Wise Origin Bitcoin Fund (FBTC) and the iShares Bitcoin Trust (IBIT) also saw steady inflows, further supporting the upward trend.
Market activity shows that investors are becoming increasingly bullish on Bitcoin, despite some funds like Grayscale Bitcoin Trust (GBTC) seeing no net inflows. IBIT, meanwhile, marked its second positive inflow since August, possibly driven by new withdrawal policies from BlackRock.
However, U.S. consumer confidence took a hit, dropping from 105.6 in August to 98.7 in September, according to the CB Consumer Confidence Index.
This dip raises concerns about broader economic impacts, which could affect Bitcoin demand in the long term. Despite a brief price dip to $62,764, Bitcoin quickly rebounded, maintaining strength well above key moving averages.
Political developments are also in the spotlight, as SEC Chair Gary Gensler faced criticism from Congress over regulatory clarity for cryptocurrencies.
House Majority Whip Tom Emmer pressed Gensler for clearer rules, while Vice President Kamala Harris has shown support for more transparent digital asset regulations.
This bipartisan push could boost investor confidence as the market anticipates clearer guidance on cryptocurrency regulations.
