Bitcoin Could End September with Its Best Monthly Gain Since Its Launch in 2009

The price of Bitcoin has risen by 12.3% since the beginning of September, marking its best performance for this month since the cryptocurrency was launched in 2009, according to Dow Jones Market Data.

China's announced economic stimulus measures and expectations of further Federal Reserve rate cuts have supported Bitcoin's gains.

On September 30, Bitcoin is trading at $64,437 after a drop of 2.3%. For the year, it has gained 53.3%, but it currently stands about 10% below its record high of $73,798 in March.

Last week, China announced a series of stimulating measures aimed at supporting the economy, including real estate and stock markets. These measures include reductions in short-term interest rates and lower capital reserve requirements for banks.

A week earlier, the Federal Reserve cut its key interest rate for the first time in four years. Now, traders see about a 30% chance of further cuts by an additional 100 basis points by year-end according to CME FedWatch, although this was only estimated at 6% last month.

The combination of Chinese stimulus measures and easing monetary policy from the US Federal Reserve will increase global liquidity, creating a favorable environment for Bitcoin and other risky assets, noted StoneX's Senior Vice President David Korngold.