Bitcoin Rallies Above $30,000 As China Eases COVID-19 Lockdowns

The price of Bitcoin (BTC) has risen more than 5% to move above $30,000 U.S. for the first time in weeks on news that China is easing its COVID-19 lockdowns.

The largest cryptocurrency was up 5.2% to $30,687 U.S. in early trading today (May 31), its biggest increase since May 15. Ethereum (ETH) and other digital tokens that got beaten down last week are also up sharply today.

The correlation between Bitcoin and stocks started to break down last week as the S&P 500 index posted its biggest weekly gain since November 2020, while Bitcoin fell for an eighth consecutive week.

Ethereum jumped 7.7% while Solana (SOL) rose as much as 7% before giving up some of those overnight gains.

Inflation reports from Spain and Germany yesterday (May 30) underscored that the macroeconomic forces that have weighed on cryptocurrencies in recent weeks aren’t about to ease.

Consumer prices in Europe jumped faster than expected in May, adding pressure on the European Central Bank to remove COVID-19 stimulus. Rising interest rates around the world have triggered a selloff in risk assets this year, sending Bitcoin down 34% since the end of last year.