Bitcoin Hits Record High at $125,000 Amid Uptober Rally and Rate Cut Hopes

Bitcoin for the first time reaches the $ 125,000 mark and sets a new all-time high. Above all, the interest rate reduction expectations and the seasonal “Uptober” effect continue to drive the course of the cryptocurrency.

Bitcoin breaks $ 125,000-US

The course climbed to $ 125,426 (around 106,900 euros) on the Bitstamp trading platform, before not lowering the $ 125,000 brand in the further course. The market capitalization of Bitcoin is around $ 2.5 trillion after the latest price increase.

Various factors drive the course

As, among other things, benefit alternative investments such as Bitcoin and classic value memory such as gold from the political uncertainties in the United States. These arise, among other things, by the current budget lock. In the case of low interest rates for classic systems, investors are more willing to take higher risks.

Seasonal tailwind increases rally

Some analysts also justify the record high with historical data: For over a decade, October has been one of the strongest months in the Bitcoin year of Bit. In the crypto scene, October is referred to as “Uptober”, since this month is often statistically connected to strong price gains. Note: The Uptober effect describes the historically above-average positive course developments by Bitcoin and other cryptocurrencies in October. The word is a suitcase word from “Up” and “October” and is mainly used in the crypto scene to describe the seasonally typical price gains in October.

Since 2013, the Bitcoin course has only fallen in October in two years – 2014 and 2018. This seasonal tailwind additionally strengthens the current rally. The Bitcoin continues to dominate the market of digital currencies, which currently has a total value of almost $ 4.3 trillion.

Up or down?

While some experts assume a continuation of the upward trend, others warn of a possible correction after the steep climb. The high volatility remains a characteristic feature of cryptocurrency.