Bitcoin experienced a notable surge early Wednesday as U.S. stock markets opened, momentarily soaring past the $90,000 mark for the first time since the previous weekend. The leading cryptocurrency hit an intraday high of $90,336.36 before stabilizing around $88,350.
This upward momentum in Bitcoin coincided with a significant rally in the metals market. Silver surged nearly 5%, setting a new record above $66 per ounce, while gold and copper saw increases of over 1%.
Comments from Federal Reserve Governor Chris Waller, a prominent candidate for the next Federal Reserve chair, may have influenced market sentiment. In his remarks, Waller indicated that the neutral fed funds rate is currently 50 to 100 basis points lower than the existing level. He also noted that the U.S. economy is nearing zero job growth and expressed skepticism about a rebound in inflation.
Market data from Coinglass showed a decline in open interest amid rising prices, with open interest dropping from 669,000 BTC to 665,000 BTC. Analysts interpret this trend as indicative of short covering rather than an influx of new leveraged positions in the market.
The recent spike in Bitcoin’s value was characterized as an unusual occurrence during U.S. trading hours, as the cryptocurrency has typically faced declines at the onset of these sessions.
