Bitcoin, the world’s largest cryptocurrency, rose to its highest level in two weeks, driven by a mixed reaction to China’s recent fiscal measures and changing predictions about the U.S. presidential race. Bitcoin is settling around $68,888, as of early Monday morning trading in London. Other leading cryptocurrencies like Ether and Solana also recorded increases.
If you're interested in entering the crypto market, understanding how to buy bitcoin can be a crucial first step as it remains one of the most prominent digital assets.
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China is working to revive its economy, but its latest announcements about fiscal stimulus have left investors uncertain. While many expected a clear plan from the government, the actual policy update didn’t specify how much stimulus would be injected into the economy. This uncertainty has raised doubts among economists about whether the measures will be enough to combat deflation and reignite growth. As a result, Chinese stocks, which had seen a strong rally earlier this year, are starting to show signs of slowing down.
For Bitcoin, this hesitation in China’s stock market might be good news. Traders speculate that the lack of enthusiasm for Chinese equities could lead investors to focus more on cryptocurrencies instead. In this context, Bitcoin is seen as a possible alternative, especially for those looking for opportunities outside of traditional markets like stocks.
In the U.S., the upcoming presidential election is playing a key role in shaping market sentiment. Recent prediction markets show that a pro-crypto candidate’s odds of winning have improved compared to their competitor. This shift has been seen as potentially beneficial for Bitcoin and other digital assets, as certain policies may become more favorable toward the crypto market if that candidate were to win.
The relationship between political developments and the price of Bitcoin is not new. Market participants often keep a close watch on elections and policy changes that could influence regulations or the adoption of digital currencies. As we move closer to the election, this trend is likely to continue influencing the cryptocurrency market.
Another factor contributing to Bitcoin’s recent rise is the postponement of creditor repayments related to the collapsed Mt. Gox crypto exchange. Mt. Gox, which went bankrupt in 2014, still holds around $2.9 billion worth of assets, mostly in Bitcoin. These repayments were originally scheduled to be distributed earlier, but the deadline has been extended by one year to October 31, 2025.
This delay eases concerns that a sudden influx of Bitcoin onto the market could drive down prices. Traders were worried that creditors, once repaid, might sell their Bitcoin holdings, leading to an oversupply. With the repayment now pushed back, the immediate pressure on Bitcoin’s price has lessened, helping maintain its recent gains.
Historically, October has been a strong month for Bitcoin. Over the past decade, Bitcoin has averaged a 20% increase in October, according to data. However, the month didn’t start off as strong this year, with Bitcoin initially struggling to gain momentum. But analysts suggest that Bitcoin’s seasonal strength usually emerges in the latter half of the month.
As the month progresses, many traders will be watching to see if Bitcoin follows its typical trend and ends October on a higher note. With the current mix of political and economic developments, there is potential for further gains in the coming weeks.
While it’s too early to predict how the rest of the month will unfold, current trends suggest that Bitcoin remains a key focus for traders, especially in the face of broader market uncertainties.
Bitcoin’s recent performance shows how market reactions to global events, such as China’s fiscal stimulus and the U.S. presidential election, can significantly impact the cryptocurrency’s price. As China’s economic efforts remain uncertain, Bitcoin has emerged as an attractive option for investors seeking alternatives to traditional markets. Additionally, political developments in the U.S. could further influence Bitcoin’s trajectory, especially as pro-crypto policies gain traction.
