Bank

Bitcoin

Summer

<h2 id="key-points">Key Points</h2>
<ul>
 <li>Bitcoin’s price struggles to maintain above $61,000 despite a rally in European equities.</li>
 <li>The Bank of England hints at a potential summer rate cut, keeping interest rates steady at 5.25% for now.</li>
</ul>
<p>Despite the surge in European equity indices, Bitcoin’s price is finding it challenging to sustain above the $61,000 mark. This is happening in the backdrop of the Bank of England maintaining a steady interest rate, with indications of a potential rate cut in the summer.</p>
<h2 id="european-equities-rally-bitcoin-struggles">European Equities Rally, Bitcoin Struggles</h2>
<p>Major European and UK equity indices were on the rise on Thursday. The FTSE 100 in London recorded a mid-day trading increase of 22.19 points, reaching a new peak at 8,393.39. Concurrently, the regional Stoxx 600 index in Europe saw a 0.15% increase, standing at 516.54.</p>
<p>The Bank of England, on the same day, announced its decision to maintain the interest rates at 5.25% for the sixth consecutive time. The bank expressed its intention to continue its “wait and see” approach until it is convinced that the conditions for a base rate cut are met.</p>
<h2 id="bank-of-england-s-stance-on-interest-rates">Bank of England’s Stance on Interest Rates</h2>
<p>The bank’s governor, Andrew Bailey, expressed optimism over the recent inflation trends and hinted at a potential rate cut as early as next month, provided inflation aligns with the bank’s predictions. Bailey stated that while inflation news has been encouraging, they need more evidence that it will remain low before they can consider cutting interest rates.</p>
<p>However, Myron Jobson, an analyst at Interactive Investor, emphasized that even if the Bank of England reduces interest rates in the summer, the higher-for-longer interest rate macro environment won’t vanish instantly. He suggested that interest rates could remain higher for the next ten years than they were in the decade following the 2008 financial crisis.</p>
<p>Despite these developments, the <a href="https://crypto.ro/en/cryptocurrencies/bitcoin/" rel="noopener noreferrer nofollow">Bitcoin</a> price saw a decrease of over 1% in the past 24 hours, trading at $61,411 as of 9:08 a.m. ET.</p>

Bitcoin Falters Despite European Stocks Surge and Bank of England’s Indicated Summer Rate Cut

Table of Contents

crypto.ro global

Other articles published on May 9, 2024

Canada Imposes Significant Fine on Binance for Regulatory Non-Compliance

Bitcoin Records Largest Drop in Mining Difficulty Since December 2022

Notcoin Listing Date and Partnerships Announced

Kaspa to Launch Smart Contract in June: How Could It Affect the Ecosystem? KAS Price Prediction

Unleashing $2 Billion in Cryptocurrency Tokens: Potential Impact on Bear Market and Coin Values

Qubic is Unleashing the Power of Mining to Solve Real-World AI Problems – A Deep Dive

Join our free newsletter for daily crypto updates!