Bitcoin soars to ten-month high

The top cryptocurrency has nearly doubled in value this year

Bitcoin has moved above $30,000 for the first time since June, as investors grow more optimistic about US Federal Reserve monetary policy ahead of key inflation data later in the week.

The top crypto by market capitalization peaked at $30,438 on Monday, but later retreated to $30,051 around 09:20 GMT on Tuesday, according to CoinDesk.

Bitcoin is up more than 80% since January 1. It started the year at around $16,600 following a turbulent 2022 that saw nearly $1.4 trillion wiped off the crypto market amid bankruptcies in the sector.

Crypto experts say that Bitcoin is likely to grow further after passing the psychological threshold of $30,000, especially if market expectations of the US Fed easing its monetary policy become reality.

James Lavish, managing partner at the Bitcoin Opportunity Fund, told CNBC that there is speculation among traders that the upcoming consumer price index data “could come in at a level that gives the Fed reason to think about pausing raising rates in the next meeting, thereby giving a boost to assets like Bitcoin.”

After the recent upheaval in the stock market brought about by the US banking crisis, some analysts have suggested that Bitcoin is likely to gain increasing appeal as a “safe haven” for investors.

READ MORE: Forbes details crypto billionaires' huge losses

“While the 2020-2021 period was perceived as Bitcoin’s breakthrough moment, the present time truly marks its ascendance onto the global stage as a formidable asset,” Bob Ras, co-founder of Sologenic, a blockchain-powered system for tokenizing assets, said in an email to CoinDesk.

“Amidst heightened geopolitical instability, faltering banking systems and mounting concerns surrounding reserve currencies, Bitcoin has emerged as the reliable refuge that many had anticipated,” he added.

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