Investing.com — Bitcoin prices rose on Thursday, tracking a broader rally in risk-driven markets, particularly stocks, though the cryptocurrency still remained fragile after sharp losses in the previous week.
The strength of the dollar, following a stronger reading of consumer price index inflation, also limited overall gains in cryptocurrencies, as did the prospect of a minor interest rate cut by the Federal Reserve next week.
Sentiment towards cryptocurrencies was also affected by a heated presidential debate late on Tuesday, which saw Vice President Kamala Harris gaining an edge over former president and pro-crypto candidate Donald Trump.
rose 2.8% to $58,115.9 as of 01:16 ET (05:16 GMT).
Bitcoin rallies on tech stocks' gains, but remains range-bound
Bitcoin's gains followed an overnight surge in tech stocks as NVIDIA Corporation (NASDAQ:) CEO Jensen Huang offered some positive comments on the demand for artificial intelligence.
However, the world’s largest cryptocurrency remains entrenched in a trading range of $50,000 to $60,000, as seen for most of the year. Bitcoin has also struggled to substantially break above $60,000, amid a dearth of positive signs for cryptocurrencies.
The token was suffering heavy losses over the previous week, amid a broader slump in risk-driven markets.
Harris's chances of victory increase, crypto regulatory landscape uncertain
The stakes on a Kamala Harris presidency rose after Tuesday's debate, where she was seen constantly putting Trump on the defensive on several key issues, from abortion rights to international relations.
Online prediction market PredictIt showed Harris's odds of a win rose to 57 cents from 53 cents with a $1 payout, while Trump's odds fell to 47 cents from 52 cents.
Of the two candidates, only Trump has openly declared his support for the cryptocurrency industry, although he has avoided mentioning the industry at major events such as the Republican national convention or even the presidential debate.
Harris, meanwhile, is expected to continue the Biden administration’s scrutiny of the sector over its alleged tenacity in fraud. This stance led the Securities and Exchange Commission to enact a series of high-profile crackdowns on cryptocurrencies over the past two years.
Cryptocurrency price today: Altcoins advance with PPI and Fed data in focus
Cryptocurrency prices across the board followed Bitcoin's gains, with the world's No. 2 cryptocurrency up 1.8% to $2,368.10.
and continued to rise, with ADA leading the gains with a 5.1% increase. Among meme tokens, it rose by 2.9%.
A stronger-than-expected reading prompted traders to price in a higher chance that the Fed will cut interest rates by 25 basis points next week, rather than a larger 50 basis point cut.
But before then, data due out later on Thursday will offer more clues on US inflation.
