Bitcoin surged past $84,000 on Monday, its highest level since the end of January, as falling oil prices lifted risk assets broadly. The move caps a volatile week that saw the token dip to $75,000 after a Fed rate hike before rebounding on easing Middle East tensions.
Bitcoin surged past $84,000 for the first time since the end of January, marking an eight-month high. CoinDesk data showed the token trading just under $84,000, up nearly 2% over 24 hours, extending a climb that began late last week.
A volatile week precedes the rally
The previous week did not go well for bitcoin on a macro level. On Tuesday, the US Senate voted against advancing the CLARITY Act. A day later, the Federal Reserve hiked interest rates for the first time since July 2023, and bitcoin reacted with volatility, dipping to a multi-week low of $75,000.
However, the token rebounded swiftly and surged past $80,000 by Friday, then neared $82,000 on Saturday before the advance was halted as tensions escalated in the Middle East. Monday reversed that pause: bitcoin bounced off the $80,000 support after reclaiming its 50-week moving average, then rocketed to just over $84,000. Its market cap surged to $1.670 trillion, with its dominance over altcoins sitting inches below 59%.
Falling oil lifts risk sentiment
Oil did most of the work behind Monday's move. Brent fell for a fourth straight session, its longest losing run in three months, as traders tracked diplomatic efforts to ease tensions between Washington and Tehran. Cheaper energy eases the inflation picture that has kept the Federal Reserve hawkish, and traders are also positioning ahead of a Trump-Xi summit later this week.
Broader risk assets rose in tandem: S&P 500 futures added more than half a percent and Nasdaq 100 contracts nearly 1%, with technology shares leading across regions.
Altcoins mark broad gains
Ether, SOL and HYPE each rose about 3%. Monero's XMR was the standout among larger tokens, up 13% to nearly $588 before giving back some of that gain. The cumulative crypto market cap added $70 billion in a day, reaching $2.810 trillion.
Sources: CoinDesk, CryptoPotato
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