Bitcoin successfully crossed $22,000 today after more than two weeks of struggling to reach the position. BTC is also up 9.76% in the past 24 hours. Bitcoin’s positive performance has greened the entire crypto market, with a handful of tokens soaring at double digits. The leading crypto is trading in green for the first time in a month for three consecutive days. The sudden spike has investors wondering, ‘Why is Bitcoin rising today?’
Why is Bitcoin rising today?
The US stock market stabilized in July this month, trading mostly in the green throughout the week. The first half of 2022 saw sales, but the second half will receive an influx of funds. The Nasdaq posted four consecutive highs this week, sending bullish signals about the market. However, the US stock market has yet to see five consecutive closes this year, with this week’s performance being the highest.
Bitcoin and the cryptocurrency market is riding the sequential stock market wave and making gains this week. The crypto market moves with the stock market and largely reflects its performance in the indices. In addition, the overall crypto market regained its market cap of $1 trillion as trading volume increased nearly 7% today.
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On-chain and metrics firm Santiment revealed that Bitcoin’s “purchasing power increases” and BTC is experiencing an influx of funds this week. “Bitcoin dominance is back on the menu after a healthy price rally on Thursday. We have seen BTC deviate from exchanges for almost 4 years, and this trend has not stopped even with the 8-month price rebound. Meanwhile, the purchasing power of Bitcoin is rising. USDT.”
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Will the markets continue to rise?
While both the stock market and the crypto market have seen a spike this week, it is recommended that you remain cautious before entering an entry position. The US jobs report comes out today, which will be a deciding factor for the markets to continue to peak or fall.
Bloomberg has predicted that the jobs report will “natural delay” spread across industries. If the Labor Department report shows that the labor market is weak, markets may begin to collapse over fears of a recession.
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At the time of writing, Bitcoin was trading at $21,851 and was up 7.6% in 24-hour trading. BTC is also up 11.1% in the past 7 trading days.