These altcoins surged after Bitcoin broke out of a two-week consolidation phase, climbing past the crucial $97,000 resistance mark for the first time since February. In the past, altcoins have typically surged in tandem with a rising Bitcoin.
Analysts remain bullish on Bitcoin’s future trajectory. Ark Invest projects that the cryptocurrency could skyrocket to $2.4 million by 2024, while experts at Standard Chartered forecast a rise to $120,000 by year-end. In a statement shared with crypto.news, Unchained analyst Joe Burnett offered a more moderate outlook, predicting Bitcoin could climb to $250,000.
“I wouldn’t be shocked if Bitcoin hits $200,000 or even $250,000 this year,” Burnett said. If it gains momentum and breaks a new all-time high, we could see a parabolic surge. The narratives are in place, and the broader macro environment is highly favorable.”
Crypto Market Boosted as US Stocks Trend Upward
Altcoins followed suit and edged higher as the US stock market rebounded. Major indices like the Dow Jones, S&P 500, and Nasdaq 100 each gained over 1%, extending a recovery that began after intense sell-offs triggered by President Trump’s “Liberation Day” tariff announcement.
These assets are gaining value as market participants expect Donald Trump to step in and start reducing tariffs, following the latest US GDP report. The data revealed that the economy shrank in the first quarter due to a significant increase in imports.
Additionally, the stock market has lagged behind compared to previous presidents at similar points in their terms. His performance has been the weakest since 1974, during Gerald Ford’s presidency. As a result, he may choose to initiate talks with China to help strengthen the stock market.
The Federal Reserve might step in and reduce interest rates to avoid a potential recession. According to Polymarket, the likelihood of a 25-basis-point cut during the June meeting has increased to 47%, surpassing the chances of maintaining the current rates.
The Federal Reserve could intervene by lowering interest rates to prevent a potential recession. Polymarket data shows that the probability of a 25-basis-point rate cut at the upcoming June meeting has risen to 47%, now exceeding the likelihood of keeping rates unchanged.
