14 october 2024 : Bitcoin surged to its highest level in two weeks, boosted by a mixed response to China’s recent stimulus measures, leading investors to favor cryptocurrencies over Chinese stocks. The largest digital currency increased by as much as 2.8% on Monday, reaching $63,890 by 6:55 a.m. in London, with other tokens like Ether and Solana also showing gains.
China is working to revive its economy, but a key policy briefing over the weekend did not clarify the extent of fiscal stimulus planned, leaving economists skeptical about the government’s efforts to combat deflation. This uncertainty has started to weaken a previously strong rally in Chinese equities.
“Markets likely view the disappointing stimulus from China as a positive for Bitcoin, as the shift of capital from Bitcoin to Chinese stocks had previously pressured crypto prices,” said Caroline Mauron, co-founder of Orbit Markets, a digital asset trading liquidity provider.
Additionally, the U.S. presidential race may also be supporting digital assets. Recent predictions indicate that pro-crypto Republican candidate Donald Trump now has better odds of winning against Democratic Vice President Kamala Harris.
Meanwhile, the bankrupt Mt. Gox crypto exchange postponed the creditor repayment deadline for its remaining assets to October 31, 2025, alleviating concerns about potential Bitcoin selling pressure from creditors. Arkham Intelligence estimates these assets to be worth around $2.9 billion.
“The improved polling for Trump will enhance the market’s positive reception of good news,” noted Benjamin Celermajer, co-chief investment officer at Magnet Capital. “Positive developments, such as the Mt. Gox repayment delay, will be welcomed.”
Bitcoin remains mostly unchanged for October, following a sluggish start, despite historically experiencing an average increase of 20% during this month over the past decade. Sean Farrell, head of digital asset strategy at Fundstrat Global Advisors LLC, mentioned that past data suggests the latter half of October typically sees stronger performance in crypto markets.