Bitcoin Price Surge Leads the ‘Uptober’ Rally with Strong Start to Q4

Core Insights - Bitcoin price has surged 3% as investors remain optimistic despite the US government shutdown, indicating a potential broader crypto market rally in Q4, historically a strong quarter for digital assets [1] - Bitcoin has surpassed the $116,500 mark, with gold reaching an all-time high of 3,890, suggesting a positive correlation between these assets amid favorable market conditions [2] - Analysts predict a dovish stance from Fed Chair Jerome Powell, which could further boost risk-on assets, including cryptocurrencies [2] Market Trends - Bitcoin's recent price action shows resilience, bouncing back after testing the $112,000 level, signaling bullish momentum as Q4 begins [3] - The outlook for October and the broader quarter remains positive, with expectations of continued strength in Bitcoin [3] Interest Rate Impact - There is an 88% chance of a 25 basis points Fed rate cut in October, which could enhance the attractiveness of risk assets like cryptocurrencies [4] - Lower interest rates may lead to more targeted inflows into Bitcoin, potentially transforming it into a yield-bearing asset class [4] Regulatory Developments - The Trump administration's decision on the Corporate Alternative Minimum Tax (CAMT) is seen as a move to strengthen the US position as a global hub for Bitcoin innovation [5]