Why did the Bitcoin price suddenly go up?

Crypto Potato reported that, the big sentiment came from Canada's central bank, after a lower-than-expected rate hike.

The tight monetary policy of the central bank is considered to be easing thanks to the result, which eased the “market tensions” that had been building throughout the year.“Housing activity has fallen sharply, spending by households and businesses has weakened. “Economic growth is expected to stall until the end of this year and the first half of next year as the effects of higher interest rates spread throughout the economy,” said a Bank of Canada spokesperson.

In addition, weak home sales data in the US is expected to influence the Fed to follow in the footsteps of the Bank of Canada.Investing Indonesia reports that there are expectations that a slowdown in the US economy will ease the Fed's aggressive stance, slowing the pace of the latest rate hikes.

These have all given hope and built investors' risk appetite for riskier assets such as stocks and cryptocurrencies.Bitcoin (BTC) Price Soars

According to a Cointelegraph report, the price of BTC has risen more than 5 percent in the last 24 hours and is up 9 percent in the last seven days.

The near-term rally seems to continue into the morning, with prices sped up from US$20,000 to US$21,000, pending a fresh boost from global sentiment.In addition, the soaring price of Bitcoin and altcoins has brought the total crypto market cap back above US$1 trillion.

In addition to BTC, the prices of other major cryptocurrencies have also shot up, even more than 10 percent in the last 24 hours. That happened to the crypto prices of Ether (ETH), Solana (SOL), Cardano (ADA), Tron (TRX), Matic (MATIC) and XRP.The boost in BTC prices was further fueled by closing short positions in futures contracts worth US$1 billion. A buying wave has formed heavily after that.