A strong return of Bitcoin. Its price recorded a gain of 7% in two days

A strong return of Bitcoin. Its price recorded a gain of 7% in two days

Bitcoin has regained its seasonal trajectory as it used to climb in October, amid speculation that the Federal Reserve is close to easing the pace of interest rate increases.

The largest cryptocurrency has jumped nearly 7% in the past two days, and has risen by a similar amount this month so far. That’s still below the average 22% gain in October over the past decade, according to data compiled by Bloomberg.

Some of the Federal Reserve’s recent comments, along with mixed U.S. economic data, have boosted bets on a slowdown in monetary tightening that has led to a decline in risky assets in 2022.

The Fed’s forecast is evident in a weaker dollar this week. At the same time, the 60-day correlation coefficient between Bitcoin and the dollar gauge is the most negative of all.

Bitcoin climbed more than 2% to trade at around $20,700 as of 10 a.m. in London, while second-placed Ether added 4% to nearly $1,540.

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