Expectations of Fed rate cuts + surging ETF inflows push Bitcoin to touch $65,000 for the first time in three weeks

According to the Zhitong Finance and Economics APP, the price of Bitcoin has touched $65,000 for the first time in about three weeks, thanks to signs indicating that the Federal Reserve will loosen its monetary policy, leading to a recovery in demand for the US spot Bitcoin ETF.

On Monday, the world's largest digital asset rose by 1.2% to $65,030, before falling back to around $64,000. Cryptocurrencies rose by 7.4% last week, marking the largest increase since mid-July.

Federal Reserve Chairman Powell gave the clearest signal to date last Friday that the Fed is about to lower the benchmark interest rate from its high point in over 20 years, indicating a more favorable liquidity backdrop for global markets.

Compiled data shows that Powell's signal stimulated a net inflow of $252 million, the highest level in over a month, with inflows into a dozen or so US spot Bitcoin ETFs that day. These funds have attracted inflows for seven consecutive days.

Cici Lu McCalman, founder of blockchain consulting firm Venn Link Partners, said, "All eyes are on the Federal Reserve." He added that a rate cut in September could boost Bitcoin.

However, unlike Bitcoin ETFs, a batch of US spot Ethereum ETFs experienced net outflows on August 23. Ethereum performed poorly on Monday, with a drop of up to 1.7%. Other major tokens remained almost unchanged.

Toncoin is a blockchain token related to the instant messaging app Telegram. The price of Toncoin has been declining continuously since Telegram's co-founder Durov was arrested in France