In crypto news today (June 16), Bitcoin has surged above $66,000, continuing the bullish price action that began over the past weekend amid an incoming peace deal between the US and Iran, slowing ETF outflows, and the Bank of Japan raising interest rates.
Liquidations have picked up, with over $536M over the past 24-hours and $375M of that figure coming from short positions. Liquidations flipping from mostly longs to shorts signal that the market is currently in an uptrend and bears are being punished.
Of the other major caps, ETH and HYPE are standouts, up +4% and +12%, respectively. With bullish price action across the market, trading volume has picked up considerably, reaching $110Bn over the past 24 hours, up from around $70-80Bn late last week.
With Bitcoin and the broader market continuing to surge, the Fear & Greed Index has moved to 23/100, up from 20/100 yesterday. While still in ‘Extreme Fear’, this steady increase in the rating highlights positive investor sentiment slowly returning.
Crypto News Today: Bitcoin Surged to $67,000 Following Bank of Japan Rate Hike
Bitcoin hit $67,200 overnight after the Bank of Japan raised interest rates to their highest level in 31 years as part of its fight against inflation. BTC USD has since settled at around $66,400 but continues on its quest to reclaim $70,000.
The Japanese regulator published its decision on June 16, with the Bank of Japan raising its policy rate by 25 basis points, from 0.75% to 1%.
This is the highest level since 1995, and while the move itself matched market expectations, the central bank’s statement included both hawkish signals about possible further tightening and measures aimed at easing investor concerns.
The central bank pointed to increased inflation risks as a reason for the hike. In particular, it noted that higher oil prices driven by geopolitical tensions are being passed through to consumer goods faster than expected. This means the Bank of Japan is ready for further rate hikes if price pressures intensify.
After decades of low inflation, Japan is now facing rising costs. In May, wholesale prices rose by more than +6% year-over-year, the fastest pace in three years. At the same time, headline inflation stood at 1.4% in April, remaining below the Bank of Japan’s 2% target.
Bitcoin Income ETF from BlackRock Receives SEC Approval
In other crypto news, BlackRock is moving closer to launching a new Bitcoin-linked income ETF after US regulators cleared a key step in the product’s approval process, which could provide yet another catalyst for Bitcoin’s quest to reclaim $70,000.
