Bitcoin surges above $64K as global monetary easing expectations rise

Bitcoin (CRYPTO:BTC) surged past $64,000 on Tuesday afternoon, driven by growing expectations of global monetary easing.

The price of Bitcoin rose nearly 2% in the last 24 hours, reaching $64,300, its highest level since early August.

Traders are now pricing in a 61% chance of a second consecutive 50 basis point interest rate cut by the U.S. Federal Reserve in November, up from 50% a day earlier.

China's decision to ease monetary policy to address its economic slowdown added to the global trend, pushing the Shanghai Composite up by more than 4%.

Despite the global tailwinds, Bitcoin dipped below $63,000 earlier in the day following a sharp decline in U.S. consumer confidence, with the Conference Board's headline index dropping to 98.7 from 105.6.

Dana Peterson from the Conference Board noted that "Consumers were also more pessimistic about future labor market conditions and less positive about future business conditions and future income."

The release of data showing a jump in the U.S. M2 money supply for August further fueled Bitcoin's recovery throughout the afternoon.

Gold also benefited from the easier monetary environment, climbing 1.4% to hit a new record high of $2,690 per ounce.

Despite Bitcoin’s recent rise, it is still over 10% below its early August levels, leaving uncertainty about whether this signals a broader breakout.

Analyst Will Clemente emphasised that a confirmed change in market structure above $65,000 is necessary for a shift towards a more bullish outlook on Bitcoin.

At the time of reporting, Bitcoin price was $64,614.98.