Bitcoin Makes ATH Against Euro Due To Change In Dollar Strength, Details Inside

3 weeks ago 22

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Although Bitcoin (BTC) is yet to breach its USD all-time high (ATH) value, the flagship cryptocurrency has made a new ATH against the euro (EUR) and some other fiat currencies.

Bitcoin Makes Fresh ATH Against Euro

Bitcoin surpassed €68,000 ($73,561) on October 29, establishing a new ATH against the euro. The largest cryptocurrency by market cap reached this milestone on multiple crypto exchanges, including Binance.

This marks the first time since March 2024 that BTC has set a new ATH against the euro. Although Bitcoin came very close to a new ATH in USD, it fell short by approximately $200, dropping from $73,620 to $71,805 at the time of writing.

Notably, the discrepancy between BTC’s performance against the euro and the USD is due to changes in the dollar’s strength.

On March 14, when BTC last reached its USD ATH of $73,737, the USD/EUR exchange rate was 0.9113. Currently, the rate is 0.9238, indicating a weakening euro against the dollar.

USD has been strengthening against EUR on the daily chart | Source: USDEUR on TradingView.com

One key factor behind the dollar’s renewed strength is the US Federal Reserve’s decision to raise interest rates to bring inflation down to its target of 2%.

Bitcoin has also achieved a new ATH against the Canadian Dollar (CAD), recording a price of just over CAD 102,000, or approximately USD 73,225.

As expected, BTC has reached new ATHs against weaker and hyperinflated fiat currencies, including the Turkish Lira, Argentine Pesos, and Russian Ruble.

BTC ATH Against USD Most Awaited

Bitcoin’s impressive performance comes at a crucial time, with the approaching US presidential elections, the effects of BTC halving, and a surge in stablecoin demand.

While Bitcoin’s new ATH against the EUR is promising, the wider crypto market eagerly awaits a USD-denominated ATH, as most crypto trading on exchanges takes place in USD or USD-pegged stablecoins like USDT and USDC.

Data shows that the BTC/EUR trading pair generates the most volume on exchanges such as Bitstamp ($39.8 million), Binance ($36.7 million), and WhiteBit ($26.7 million).

However, these volumes are dwarfed by higher-volume trading pairs like BTC/Korean Won (KRW). BTC/KRW trading volumes reach as high as $400 million daily – almost ten times more than the most-traded BTC/EUR pair.

Recent data indicates that, despite flirting with ATH levels, BTC traders are holding off on profit-taking around the $71,000 level, suggesting expectations of further price increases based on current momentum.

Commenting on BTC’s trajectory, seasoned analyst Peter Brandt said that the leading digital asset requires a daily close above $76,000 to confirm a true breakout. At press time, BTC trades at $71,805, up 0.6% in the past 24 hours.