Bitcoin rally halted midway overnight as Donald Trump rejected a nearly $900 billion stimulus bill that passed both the Democrat-controlled House and the Republican-held Senate. The bitcoin-to-dollar exchange rate slipped 1.13 percent to $23,554 in the pre-European session today. Traders apprehensively reduced their exposure to the cryptocurrency, anticipating that a delayed stimulus package would aid the US dollar’s rebound. The US dollar is trading above its two-year low.
Bitcoin slumps after US President rejects the stimulus bill.
Technically, Bitcoin’s price moves appeared choppy. The leading cryptocurrency kickstarted the week in a negative area on profit-taking sentiment. It also plunged as the news of a new coronavirus mutant turned investors to the US dollar’s safety. Bitcoin fell alongside global stocks and gold. But on Tuesday, its price pared the week-to-date losses by rebounding by 4.81 percent. The plummet came as the US Senate approved the $900 billion stimulus package that would provide critical economic relief to American households and businesses affected by the global pandemic. Trump refused to sign the stimulus bill, creating another extension in a bureaucratic process that has taken months to complete.
Bitcoin reaches new all-time highs after three years.
The price of the leading cryptocurrency reached new all-time highs this month after a three long year wait. Bitcoin soared above $20,000 earlier this month for the first time and then went on to touch $24,000 before retracing. At the time of writing, bitcoin is trading just below $23,000. The recent moves in the Bitcoin market trapped its price in a sideways consolidation range. The leading cryptocurrency has witnessed massive growth this year. Bitcoin’s price dropped to as low as $4,000 this year in March before reaching new all-time highs this month.