October typically sees a seasonal rise in Bitcoin. And this time, the price of the largest token in the cryptocurrency market rose 5.1% at the beginning of the month to a six-week high of $28,489, the highest since August 17. writes Bloomberg. In September, Bitcoin grew by 4.1%, although it still fell by 11% at the end of the third quarter.
Ethereum, Litecoin and Solana also rose in price. The cryptocurrency market’s rise is partly due to traders’ anticipation of the trial of Sam Bankman-Fried, the founder of bankrupt cryptocurrency exchange FTX, which begins on Tuesday. Unlike the cryptocurrency market, the stock market saw a decline in major indices across Europe on Monday.
“There appears to have been significant buying flows, perhaps reflecting the start of a new reporting quarter, and the resulting moves were exacerbated by tight liquidity over the weekend.” said Caroline Mauron, co-founder of digital asset derivatives liquidity provider OrBit Markets.
The cryptocurrency market’s growth has also been helped by rumors that the U.S. Securities and Exchange Commission will continue to approve BlackRock’s application to register a spot Bitcoin ETF, a decision it postponed last week.
Ahead of the trial, Bankman-Fried’s lawyers asked Judge Lewis Kaplan to grant his client temporary release during the trial to better prepare for his defense. However, he rejected her application due to the risk of the former billionaire fleeing. Last week he did expressed Opinion Bankman-Fried may face “very long period of time” if he is found guilty of fraud in court.