Bitcoin: How to explain the rise of the day?

This Wednesday, the crypto market is showing a lot of green. While most major crypto projects have recently hit their yearly lows, some see this bullish movement as a potential permanent rebound. But for that, they are waiting for good news on the macroeconomic level, but also on the situation around Genesis. Because the formation of a new bankruptcy could again fall on the market.

Bitcoin up 5%!

This morning, crypto investors probably woke up less tense than usual. And for good reason, Bitcoin had just recovered 5% recently. A recovery that could be attributed in part to the good session of the stock market the day before. Driven by the good numbers on employment in the United Statesthe NASDAQ 100 had a bullish session (+1.48%). Increases can also be found in the S&P 500 (+1.36%) and the Dow Jones (+1.18%).

Another explanation for the rise in the price of Bitcoin can be found within the open interest data which could tip the balance (in the short term) in favor of the bulls. But it would appear that investors have regained confidence in the Fed’s monetary policy as well. Today, almost 75% of crypto players believe that the next rate hike from the US central bank will be limited to 50 basis points. This would then start a slowdown in the rise and signal that inflation is about to come under control. But for that, we will have to wait 3 weeks, the next meeting of the FOMC being scheduled for December 14th.

Finally, some note that Bitcoin’s recovery would also be due to oversold in the past few days. As particularly recommended the RSI indicator. As of press time, Bitcoin is up 5.59% and trading above $16,500 again.

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The rise is also relevant to altcoins!

As usual, altcoins also experience an increase in the price of Bitcoin. Some of them even have a tendency to surpass the mother of cryptocurrencies. This is especially true for Binance Coin (BNB), which has gained 17% in the last 24 hours.

The following table shows the evolution of the top 10 altcoins in the last 24 hours:

In fact, all of the top 10 altcoins outperform or equal Bitcoin. Special mention to Litecoin which has taken 27% in the last 24 hours and is moving up the hierarchy. The SOL token of the Solana project regains its place among the top 10, to the detriment of Tron (TRX), which has a less bullish day than the competition (+4.31%). Among these 10 projects, 4 increased by more than 10%.

Overall, the crypto market is up 6.30%. At the time of writing, the market is expected to have a full market cap $830 billion according to data from the Coinmarketcap platform.

The Genesis affair could change everything!

In great difficulty since the bankruptcy of the FTX exchange was announced, Genesis could quickly breathe and drive the wave of enthusiasm of the last hours into oblivion. Last week, the crypto player announced that it was looking for partners worth $ 1 billion. If the Binance platform is the ideal buyer, the exchange has again decided not to continue this file.

Today, the risk of bankruptcy seems very real, although Gemini is actively working alongside Genesis. The exchange run by the Winklevoss brothers is Genesis’ partner for its “Earn” product.

In order for the current boom not to remain in vain, it will also be necessary that the macro parameters go towards the bulls. The next rate hike by the FED could decide again. And the US central bank says it’s already open to slowing rates:

Achieving a monetary policy stance that is tight enough to reduce inflation to 2% over time. In determining the pace of future increases in the target range, the Committee will take into account the cumulative tightening of monetary policy, the lags in the impact of monetary policy on economic activity and inflation, and economic and financial developments.