WASHINGTON – The world’s largest cryptocurrency gained 1.5 percent to reach $65,405.40, recovering some of the losses recorded during last week’s market volatility as investors awaited the US Federal Reserve’s monetary policy decision later this week.
Other major cryptocurrencies also recorded gains, with Ethereum rising 4.1 percent to $1,959.92, while XRP advanced 1 percent to $1.109 and Solana increased 2 percent. Dogecoin moved in the opposite direction, declining 0.8 percent.
Bitcoin’s recovery came as concerns over a further escalation of regional tensions eased, contributing to lower oil prices and expectations of reduced inflationary pressures globally. A weaker US dollar also supported demand for dollar-denominated assets, including cryptocurrencies.
Market participants are closely watching the upcoming Federal Reserve meeting, where interest rates are widely expected to remain unchanged. Investors are also monitoring comments from Fed officials for signals on the future direction of monetary policy.
Cryptocurrencies are particularly sensitive to interest rate expectations, as higher rates tend to reduce demand for riskier assets, while expectations of rate cuts often boost investor interest.
Markets are also tracking earnings reports from major US technology companies, including Microsoft, Meta, Apple and Amazon, with their results expected to influence broader investor sentiment in high-risk asset markets.