Bitcoin Jumps Again. Coinbase and Strategy Stocks Are Getting a Boost, Too. — Barrons.com
By George GloverBitcoin was rising again on Thursday, boosted by weak private-sector jobs numbers that strengthened investors' confidence that the Federal Reserve will cut interest rates later this month.The world's largest token was up 2.5% to $119,695 over the past 24 hours, according to data from CoinDesk. It's now trading at its highest level since Aug. 13, according to Dow Jones Market Data.Ethereum rose 2.8%, Solana gained 3.3%, and XRP added 1.7% over the past 24 hours, according to data from the Kraken crypto exchange.Crypto stocks were getting a boost, too. Shares in the digital-asset exchange Coinbase climbed 5.3%, and Bitcoin investor Strategy, formerly known as MicroStrategy, was up 3.3% in early trading. The S&P 500 was 0.1% higher.The moves came after soft ADP private payrolls data published on Wednesday appeared to strengthen the case for Fed interest-rate cuts. Traders are now pricing in a 99% chance of a quarter-point reduction on Oct. 29, according to the CME FedWatch tool, up from 86% a week ago.Cryptos tend to benefit when borrowing costs fall, because safer assets like bonds and savings accounts offer a lower yield. That incentivizes investors to pile into riskier assets, in search of higher returns.Write to George Glover at [email protected] content was created by Barron's, which is operated by Dow Jones & Co. Barron's is published independently from Dow Jones Newswires and The Wall Street Journal.