Bitcoin's price reached approximately $104,000 on Friday, marking a significant rebound from its 50-day Exponential Moving Average of around $98,800 earlier this week. This surge comes amid profound shifts in global economic conditions, including the European Central Bank's (ECB) decision to cut interest rates by another 25 basis points, signaling a continuation of its current rate cut cycle.
The ECB's monetary policy decisions have had ripple effects across various financial markets. Renewed selling pressure on the US Dollar has helped stabilize gold prices, which are currently battling at $2,800, sitting at their highest level on record early Friday. This stability is further supported by US President Donald Trump's ongoing tariff threats, which continue to influence market dynamics.
Meanwhile, the USD/JPY currency pair is showing resilience, bouncing back above 154.00 during Friday's Asian trading session. This rebound is attributed to increased bets for further rate hikes by the Bank of Japan (BoJ), bolstered by strong Tokyo Consumer Price Index data. The pair is also tracking the renewed uptick in the US Dollar.
Elsewhere, the AUD/USD pair is showing strength, defending minor bids above 0.6200 in the Asian session. As the financial markets brace for the release of the US core Personal Consumption Expenditures Price Index, President Trump’s tariff threats underpin the Greenback, adding a layer of complexity to the US economic landscape.
It is important to note that this article is not intended to provide investment advice. Neither the author nor FXStreet is a registered investment advisor. Investors are urged to conduct their own research and consult with professional advisors when making investment decisions.