Teslas 20 Surge Drives Market Sentiment Bitcoin Rebounds to 68K
Inspired by excellent financial reports and prospects, Tesla’s stock price surged by 22% on Thursday, marking its best single-day performance since 2013. The US stock market rebounded, with the S&P 500 index rising by 0.21%, ending a three-day decline. Bitcoin also rose again alongside the US stock market, reaching $68,196 before the deadline, with a gain of over 2% in the past 24 hours. On the other hand, Ether has shown weak performance recently, still hovering above $2,500.
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Tesla did not sell Bitcoin, and its Q3 profits increased significantly.
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The US economy is in an ideal state referred to as the “Goldilocks” situation. Bitcoin surpassed $68,000, while Ether showed weak performance.
Yesterday, it was announced that initial claims for unemployment benefits unexpectedly declined to 227,000 people, while continuing claims for unemployment benefits reached a nearly three-year high. Due to distortions caused by Hurricane Helen, the Federal Reserve may need to adjust its assessment of recent data.
According to another report from Standard & Poor’s Global Companies, the initial Composite PMI output index for tracking manufacturing and service industries in the US rose from a final value of 54.0 in September to 54.3 this month, indicating continued growth driven by the service industry. A value above 50 indicates expansion in the industry.
According to the CME FedWatch Index, there is a 97% chance that investors expect a 25-basis-point rate cut from the Federal Reserve at its November 7 meeting, much higher than the 41.8% probability a month ago (at that time, the probability of a 50-basis-point cut was 58.2%). This indicates that the market believes the current economic situation in the US is in a “Goldilocks” state, neither too hot nor too cold. The Federal Reserve will adopt a gradual pace of rate cuts to reduce corporate financing rates.
Bitcoin rose again alongside the US stock market, reaching $68,196 before the deadline, with a gain of over 2% in the past 24 hours. Short-term observation is still needed to see if it can stabilize above the 70,000 integer level.
Ether has shown weak performance recently, still hovering above $2,500. The SOL/ETH exchange rate hit a new all-time high. KOL Ignas stated that with traditional financial capital entering Bitcoin, many long-term holders have begun to transfer ETH to new tokens, as its performance has not attracted enough attention.
Solana, on the other hand, saw a simultaneous increase in protocol revenue and coin price due to the AI meme trend.
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The AI meme coin GOAT:AI, born out of a mysterious AI experiment, aims to make money with meme coins and become the most powerful shilling machine.
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ETH
SOL
Bitcoin
Tesla
US stocks
Goldilocks
Further reading:
MicroStrategy’s stock price rise falls short of expectations; shareholders suggest Microsoft diversify its investments by including Bitcoin.
Michael Saylor’s Bitcoin custodian comments spark controversy; Vitalik: That’s not the purpose of cryptocurrency’s existence.
