The price of Bitcoin (BTC) rose 7% to above $20,000 U.S., its highest level in weeks, despite stocks continuing to selloff.
Bitcoin’s rally is lifting the entire cryptocurrency sector, with the price of Ethereum (ETH) also up 7% and trading at $1,390.00.
Since mid-June, Bitcoin has traded in a range of $18,000 U.S. to $25,000 U.S. but has been below $20,000 U.S. for most of September as stocks sink.
The decline in cryptocurrencies has been due to interest rate hikes by central banks aimed at lowering inflation, as well as a wave of bankruptcies and insolvencies among crypto exchanges and lenders.
However, the latest rally in Bitcoin comes despite a fall in U.S. stocks with the S&P 500 closing at its lowest level of 2022 yesterday (September 26).
Since the cryptocurrency market hit lows for the year in mid-June, investors have focused largely on a network upgrade to the Ethereum blockchain that reduces the energy required to mine for that digital asset.
Year-to-date, Bitcoin’s price is down 58% and currently trading at $20,200 U.S.
