The financial markets witnessed a week of significant developments as the US Dollar remained broadly subdued, while risk sentiment appeared to stabilize. On Friday, Bitcoin's price hovered around $104,000, showcasing a rebound from its 50-day Exponential Moving Average of approximately $98,800 earlier this week. Meanwhile, gold prices reached a fresh all-time high of $2,800 during the early European session, driven by geopolitical tensions and trade uncertainties under US President Donald Trump's policies.
Gold's upward trajectory continues to attract attention as it remains poised to extend its long-standing uptrend. The precious metal's appeal as a safe-haven asset has been bolstered by ongoing global tensions and President Trump's threatened trade tariffs. These factors have underpinned demand for bullion, pushing prices to unprecedented levels.
In the realm of cryptocurrencies, Bitcoin demonstrated resilience with its recent price movements. The digital currency bounced back strongly after touching its 50-day Exponential Moving Average, indicating a bullish sentiment among investors. However, it is important to note that neither FXStreet nor any authors associated with this coverage are registered investment advisors, and this report should not be construed as investment advice.
In Europe, the financial landscape was further shaped by the European Central Bank's (ECB) decision to cut policy interest rates by 25 basis points. This move, although expected, underscores the ECB's commitment to its current rate-cutting cycle. The euro, in response, traded within a narrow channel at around 1.0400 against the dollar during the European session on Friday. Similarly, the GBP/USD pair remained constrained above 1.2400, reflecting the broader cautious sentiment in currency markets.
The ECB's rate cut aims to support economic growth within the Eurozone amid challenging global conditions. This decision aligns with the central bank's ongoing efforts to stimulate the economy and counteract external pressures affecting the region.