Hassan Maishera
TL;DR
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BTC added nearly 4% to its value in the last 24 hours to hit the $119k mark.
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Altcoins also rallied higher despite the U.S. government shut down.
BTC Looks to Cross the $120k Psychological Level
The cryptocurrency market had a breather on Wednesday following a poor start to the week. Bitcoin, the leading crypto by market cap, added nearly 4% to its value to reclaim the $119k level.
BTC has slightly retraced and now trades at $118,700 per coin. The rally comes despite the U.S. government officially shutting down during the early hours of Wednesday. Analysts believe that the government shutdown is delaying some key economic reports, enabling a positive fiat liquidity impulse in the market.
The Nonfarm Payroll (NFP) is set to be released tomorrow but the shutdown could affect this data release. The positive liquidity impulse caused by the delay in data release usually results in easier access to funding, reduces cost of borrowing and boosts economic growth and risk-taking in financial markets.
Thanks to the ongoing rally, Bitcoin is now looking to break above the $120k psychological mark in the near term. Breaking above $120k will bring the all-time high of $124k into sharp focus.
Altcoins Rally Higher
Bitcoin’s rally past $119k allowed altcoins to record even bigger runs. Ether, the leading altcoin by market cap, is up 6% in the last 24 hours and now trading around $4,400 per coin.
Ripple’s XRP is also looking to break above $3.0, while Solana’s SOL is now targeting the $240 resistance level after surpassing $220 a few hours ago. With altcoins also rallying, the total crypto market cap has crossed the $4 trillion milestone once again.
