The crypto market is seeing a boost today, with Bitcoin and other cryptocurrencies climbing in value. Bitcoin has reached $88, 000, while Ethereum is up at $2, 935. Tokens like Zcash, Aptos, and Virtuals Protocol are among the top performers.

One big reason for this rise is the optimism among Polymarket traders. A poll with over $133 million in bets shows that many traders think Bitcoin will hit $95, 000 by the end of the year. The chances of this happening are now at 30%, while the odds of it dropping to $80, 000 are at 22%. This optimism could push Bitcoin even higher, possibly to $100, 000, and boost other cryptocurrencies as well.

The market has also reacted to the Bank of Japan's recent interest rate decision. Investors had been worried about this decision, but after the bank raised rates by 0. 25%, they started buying again. The bank's governor, Kazuo Ueda, did not mention more rate hikes for 2026, which made investors feel more confident.

Another factor is the U. S. inflation data. The Consumer Price Index (CPI) fell to 2. 6% in November, and the core CPI is at 2. 7%. With oil prices dropping below $60 and unemployment rising to 4. 6%, the Federal Reserve is likely to keep its policies supportive of growth. This is good news for crypto prices, as they tend to do well when interest rates are low.

The stock market is also doing well, with the Dow Jones, Nasdaq, and S&P 500 indices up by over 0. 50%. Tech companies like Oracle, Nvidia, and Broadcom have been driving this rally. Nvidia's stock jumped by over 4% after Trump signaled that chip shipments to China might resume. Since crypto and stocks are both considered risky assets, their prices often move together.

However, there is a risk that this rally could be a short-lived bounce. A dead-cat bounce happens when an asset that has been falling suddenly rises briefly before continuing its downward trend. Bitcoin has been struggling to stay above $90, 000, and the rally seems to be losing steam. There is also a bearish flag pattern forming, which could mean more declines ahead, possibly down to $75, 000.

Crypto Market on the Rise: What's Driving the Surge?

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