The cryptocurrency market experienced a notable upswing on Thursday following statements from U.S. President Donald Trump, who suggested that inflation in the United States could be “almost gone” and might potentially decrease to 1%. This optimism has reignited risk sentiment among investors.
Bitcoin (BTC) saw a 1% increase, reaching approximately $102,553, while Ethereum (ETH) surged by 2.7% to $3,427. Other significant altcoins also displayed positive movements, with Solana (SOL) rising 3.3%, BNB climbing 2.7%, and XRP advancing by 4.5%.
The total market capitalization for cryptocurrencies now stands at $3.42 trillion, reflecting an increase of nearly 3% over the past 24 hours, as reported by CoinGecko. This rally comes on the heels of a turbulent week that saw Bitcoin briefly dip below the $100,000 mark amid approximately $700 million in liquidations.
Traders are interpreting Trump”s remarks as indicative of a potentially softer macroeconomic policy ahead of the Federal Reserve”s upcoming meeting, which could lessen the pressure on risk assets. Despite this positive shift, the overall sentiment remains cautious, with the Crypto Fear & Greed Index slightly improving but still situated in the “fear” zone at 24 points.
This situation is still evolving, and further developments may impact market dynamics significantly.
