Bitcoin and Crypto Stocks Rally on Surging Fed Rate Cut Bets
Crypto-related stocks are broadly higher on Friday, led by bitcoin miners, as markets react to a sharp increase in expectations for a Federal Reserve rate cut in early December.
Bitcoin (BTC) climbed to $93,000 in early U.S. trading before pulling back slightly to $92,500, up 2% over the past 24 hours and roughly 15% higher from last week’s panic low near $80,000.
The rally comes amid a dramatic reversal in Fed rate expectations. Earlier this month, hawkish Fed commentary had pushed the odds of a December rate cut to around 30%. By Friday morning, dovish signals had regained the narrative, sending the odds soaring to 89%.
Mining stocks are leading the gains in the crypto sector. CleanSpark (CLSK) surged 12.5%, Bitfarms (BITF) jumped 11%, and Riot Platforms (RIOT) added 9%. Severely beaten bitcoin treasury firm KindlyMD (NAKA) rose 12%, while Michael Saylor’s Strategy (MSTR) gained 3.8%.
Precious metals are also performing strongly in traditional markets. Silver reached a record high near $55 per ounce, up 3% on the day, and now holds a global market value of roughly $3.1 trillion. Gold traded above $4,200 per ounce.
U.S. equities opened modestly higher, with the Nasdaq up 0.4% and the S&P 500 rising 0.3%.
