Bitcoin and select altcoins are showing strength at the start of the week as traders shift their focus to more than just spot BTC ETF flows.
United States equities markets are on a roll, supported by strong economic growth and signs that inflation may be slowing down on a yearly basis. The S&P 500 Index (SPX) climbed 1.06% last week, continuing its march toward the psychologically important level of 5,000.
Bitcoin (BTC) also behaved identically, rising 1.08% last week. It was an impressive performance, considering that Bitcoin’s price had fallen near $38,500 during the week. The strong recovery shows solid buying at lower levels.
Data from the FedWatch Tool shows that the Federal Reserve will hold rates in their Jan. 31 meeting but start cutting rates from their March meeting. An expansive monetary policy is usually a positive sign for risky assets.
