[Bitcoin Now] Bitcoin Surges Past $124,000 Intraday... Ethereum Rallies Relentlessly (Comprehensive)

Bitcoin Hits New All-Time High Again
Ethereum, Leading Altcoin, Surges Past $4,700
Approaches Record High

Yonhap News

The leading cryptocurrency, Bitcoin, hit an all-time high during trading on August 14, surpassing $124,000. Ethereum, the leading altcoin (cryptocurrencies other than Bitcoin), also exceeded $4,700 during trading, approaching its 2021 record high.

According to the global cryptocurrency market tracker CoinMarketCap, Bitcoin was trading at $123,460 around 11 a.m. on this day, up 3.46% from 24 hours earlier. At one point, Bitcoin reached a record high of $124,457, but subsequently retreated below $124,000 as investors rushed to realize profits.

At the same time, Ethereum, the leading altcoin, was trading at $4,728, up 3.39%. Ethereum has maintained its upward momentum for a week since breaking through the $4,000 mark on August 9. This is the first time since the end of 2021 that it has recovered to the $4,000 range. However, it has not yet reached its all-time high of $4,891 set in November 2021. Other major altcoins such as Solana, Dogecoin, and Tron were also showing strong gains of 3% to 6%.

This rally is believed to be driven by the U.S. inflation data released this week, which matched market expectations and strengthened hopes for a Federal Reserve interest rate cut in September.

Joel Kruger, market strategist at LMAX Group, a foreign exchange (FX) and crypto asset platform for institutions, said, "Eased inflation signals and expectations of a Federal Reserve rate cut are fueling broad capital markets, with the S&P 500 and Nasdaq moving near all-time highs, providing momentum for Bitcoin's rise."

In a report released on this day, crypto analytics firm 10X Research stated, "The conditions for a sustained rally are in place, with credit spreads (the gap between government and corporate bond yields) narrowing and loan growth rates rising," adding, "If the Fed, which is currently cautious about rate cuts, decides to change direction, investors will rapidly shift funds into high-risk assets."

The crypto-specialized media outlet CoinDesk reported that the market sees a more than 90% chance of a 0.25 percentage point rate cut at the upcoming Federal Open Market Committee (FOMC) meeting in September, but there is also growing pressure for a larger-scale easing.

The report also noted, "Bitcoin and stocks are already responding preemptively, but the market has not yet fully priced in the upcoming changes," leaving room for further gains.