BTC Bounces Back to $60K, Thanks to Morgan Stanley, US FED
CoinEdition
Published Mar 18, 2021 04:02AM ET
Updated Mar 18, 2021 04:30AM ET
BTC Bounces Back to $60K, Thanks to Morgan Stanley, US FED
- Bitcoin price rallied after some good news from Morgan Stanley (NYSE:MS) and the US Federal Reserve.
- Morgan Stanley will soon be launching three BTC funds.
- The US FED has indicated that interest rates could hike by 2022.
Bitcoin (BTC) price has reacted positively to two recent announcements. First, Morgan Stanley has finally given the top crypto its nod of approval. Secondly, the US FED hinted at a possible 2022 interest hike.
Financial powerhouse, Morgan Stanley recently reported that it will soon launch three funds that will allow investors to own BTC. The funds; Galaxy Digital’s BTC Fund LP, Institutional BTC Fund LP, and FS Investments’ NYDIG Select Fund are set to launch as soon as April.
However, Morgan Stanley is targeting investment towards high net worth investors. In addition, Morgan Stanley will set an allocation cap of 2.5% of clients’ overall wealth.
Meanwhile, the US Federal Reserve also reported that interest rates could hike in 2022 based on economic indicators. Recent forecasts show that the US’s economic recovery is progressing faster than expected.
For example, indicators put the unemployment rate at 5% by the end of 2021. However, current projections suggest it will be 4.5%. Similarly, the inflation rate is now 2% instead of 2.2% as indicated three months ago.
Prior to these announcements, BTC price was sluggish after its $61,711.87 all-time high on March 13. In fact, the entire crypto market has been bearish of late despite BTC’s recent ATH. As a result, BTC dipped below the $54,000 level before the good news helped the crypto to rebound. At the time of writing, BTC is trading at $59,063.41 with a $64,328,473,882 trading volume.
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Written By: CoinEdition
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