The two most widely used cryptocurrencies saw strong growth in value over the weekend. This is despite the recent interest rate hike by the US Federal Reserve. Investors are probably looking for better times in 2023.
Interest rates will rise further
The Federal Reserve has signaled that interest rate hikes will continue, up to above 3.5 percent over the next year. Interest rates should not return below the three percent threshold until after 2024. But investors in cryptocurrencies clearly do not mind such a outlook, which is also reflected in the growth of their value.
Bitcoin has strengthened significantly
Bitcoin began to rise sharply during Friday’s trading. While on Wednesday and Thursday its price hovered around 19 thousand dollars, on Friday it jumped above 21 thousand and on Saturday even broke the 21.5 thousand dollar mark. In about 28 hours, Bitcoin firmed by about 13 percent, the biggest boost in six months.
Similarly, the value of the Ethereum currency developed, but the appreciation was already evident on Thursday. From Thursday to Saturday, Ethereum firmed by more than 16 percent and traded at more than $1700 over the weekend.
