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Crypto Rally Boosted by Trump Pardon of Binance Founder CZ

Cryptocurrency Markets Rally Amid Binance Founder Pardon and Anticipation of U.S. Inflation Data

  • Bitcoin Price rose to approximately $110,700 on Thursday after recent sharp fluctuations.
  • Other major cryptocurrencies like ether, Dogecoin, and Cardano gained 2% to 3%, with solana and BNB outperforming above 5%.
  • Binance founder Changpeng Zhao received a presidential pardon, contributing to positive market sentiment.
  • Crypto-related stocks rebounded, with Bitcoin miner Hut 8 increasing by 7.3% and Coinbase and Strategy up about 2% each.
  • Markets anticipate the U.S. Consumer Price Index (CPI) report on Friday ahead of the Federal Reserve’s upcoming rate decision.

Cryptocurrency markets showed strong gains on Thursday, linked to broader stock market advances, a U.S. presidential pardon for the founder of Binance, and upcoming inflation data. Bitcoin traded near $110,700 in mid-afternoon U.S. trading, recovering after dropping below $107,000 the previous day.

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Bitcoin’s price increased 2.7% in the last 24 hours, just below its intraday high of $111,100. The cryptocurrency experienced notable volatility earlier in the week, rising to as high as $114,000 before sharply falling. This erratic movement is known as a “whipsaw” pattern, which often disrupts traders who attempt to follow trends.

The overall cryptocurrency sector also improved, with ether rising to about $3,890, dogecoin at $0.19, and cardano near $0.64, each up 2% to 3%. Solana and BNB recorded the strongest gains, climbing over 5%. BNB’s boost followed the presidential pardon granted to Binance founder Changpeng Zhao, enhancing confidence in the regulatory environment.

Crypto-focused stocks rebounded after Wednesday’s declines. Bitcoin miner Hut 8 climbed 7.3% following a 17% drop the day before. Shares of Coinbase and Strategy rose about 2% each. U.S. stocks mirrored this upward trend, with the Nasdaq increasing by roughly 1% an hour before the market close.

These developments occurred as the U.S. government prepares to release the September Consumer Price Index (CPI) report on Friday, despite a partial government shutdown. The CPI measures inflation and is viewed as a critical economic indicator. Market participants expect the Federal Reserve to reduce its benchmark interest rate by 0.25 percentage points at the upcoming meeting and to make another cut by year-end.

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