The price of Bitcoin (BTC) has risen above $30,000 U.S. for the first time since June 2022 as investors look to the end of interest rate hikes by the U.S. Federal Reserve.
Bitcoin was trading at as much as $30,438 U.S. in Asia, bringing its gains since the beginning of March to nearly 30%. Year-to-date, Bitcoin’s price has increased 82%.
Turmoil in the U.S. banking sector has raised market expectations that the Fed is not likely to lift interest rates much higher as it looks to lessen the stress on the U.S. economy.
At the same time, Ethereum (ETH), the second largest cryptocurrency by market capitalization, continues to rally ahead of a major upgrade to its underlying blockchain scheduled for April 12.
Ethereum is now trading at an eight month high of just under $2,000 U.S. per digital token. So far this year, Ethereum has gained 60%.
Called the “Shapella upgrade,” the update will let investors redeem their Ethereum much easier and faster than was previously possible, potentially unlocking $33 billion U.S. in liquidity.
Bitcoin had been trading at under $16,000 U.S. last December before the entire cryptocurrency market reversed course and began to rally this year.
