The value of the leading cryptocurrency, Bitcoin, significantly increased on May 10, reaching an intraday high of $28,883 on the Bitstamp platform.
The cryptocurrency is presently trading at $28,164, having subsequently given up some of its gains, but it still represents an increase of 1.94% for the day.
This increase is in line with the Nasdaq index, which increased by 1.0% and reached its highest level since August 2022.
The most current U.S. inflation statistics, which The New York Times reports increased by 4.9% in the year through April, appear to be related to the recent increase in the value of Bitcoin.
This rise marks the ninth month in a row that inflation has decreased, which may indicate that inflation is moderating.
The Federal Reserve may be able to halt its plan to raise interest rates during this period of moderate inflation. Many people see this probable stop in rate rises to be a positive development for risk assets, including Bitcoin.
According to U.Today, Bitcoin previously lost ground when the Federal Reserve decided to raise interest rates again earlier this month, which led to a decline in the currency’s value. The digital money was now on shaky footing due to this change in the financial environment.
Based on the most current economic statistics, the Federal Open Market Committee (FOMC) will modify its monetary policy, perhaps giving Bitcoin and other cryptocurrencies further positive momentum.
