Bitcoin recovered toward $81,000 during Asian trading on Wednesday, gaining nearly 2% as investors awaited the Federal Reserve’s latest interest rate decision. The rebound erased much of the weekend’s decline, when BTC slipped close to $79,000.
Other major cryptocurrencies posted stronger gains, while technology stocks extended their recent rally.
Zcash (ZEC) led the market, rising 8% to around $1,320 and reclaiming the $1,300 level after Monday’s sell-off. Hyperliquid’s HYPE token advanced nearly 5% to approximately $81. XRP and Dogecoin (DOGE) each climbed about 3%, while Ethereum gained 2% to trade just above $2,350. Solana (SOL) rose roughly 2% to $102, and BNB added 1%. TRON (TRX) recorded a more modest increase of less than 1%, according to CoinDesk data.
The market rebound followed a report from Galaxy suggesting that investors should consider accumulating Bitcoin at current levels.
“We think the bear market ended in June and that bitcoin is in the accumulation phase that has preceded every prior advance,” Alex Thorn, Galaxy’s head of firmwide research, wrote in the report.
Thorn believes Bitcoin’s market bottom formed in June, when the cryptocurrency traded below $58,000. He based his assessment partly on BTC’s recovery above its 50-week moving average, a technical indicator that tracks the average closing price over the previous 50 weeks and helps traders evaluate longer-term price trends.
He also cited declining selling pressure and increasing U.S. government debt as factors supporting his outlook. However, the optimistic assessment comes as Bitcoin continues to face difficulty sustaining levels above $80,000.
Investors are now focused on Federal Reserve Chair Kevin Warsh’s press conference for indications of whether another rate increase could be on the table in December.
An additional rate hike would raise borrowing costs and could weigh on risk-sensitive assets such as cryptocurrencies. Higher interest rates often encourage investors to shift capital toward investments perceived as less risky, potentially limiting demand for digital assets.
