Bitcoin, Ethereum, and Dogecoin Mirror Nvidia-Driven Stock Rally: One Analyst Makes This Unexpected Forecast for Crypto's Q4 Performance – Grayscale Bitcoin Mini Trust (BTC) Fractional Undivided Beneficial Interest Common Units (ARCA:BTC)

Major cryptocurrencies rose on Tuesday, following the stock market rally, as investor confidence in risky asset classes grew.

What happened: Bitcoin, The market bellwether hit highs of $64,700 on Tuesday evening, a level not seen since Aug. 2. The leading cryptocurrency trended higher during U.S. trading hours.

Ethereum Bitcoin continued to trade in the $2,600 zone, awaiting a decisive breakout towards the $2,700 region. That said, the second-largest cryptocurrency has outperformed Bitcoin in returns since the Federal Reserve's aggressive rate cut last week.

Total cryptocurrency liquidations reached $111 million in the past 24 hours, with $71 million in short bets being wiped out.

The rally resulted in a 3% increase in Bitcoin open interest, indicating high speculative interest in the leading digital currency.

Additionally, traders betting on Bitcoin outnumbered those anticipating a drop in its price as the long/short ratio exceeded 1.

Market sentiment remained “Neutral,” according to the popular Cryptocurrency Fear and Greed Index, indicating a balance between market forces.

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The global cryptocurrency market stood at $2.26 trillion, up 2.30% over the past 24 hours.

Shares posted their second straight day of gains. Dow Jones Industrial Average gained 83.57 points, or 0.20%, to close at 42,208.22, while the S&P 500 Index It gained 0.25% to close at 5,732.93. Both blue-chip indices closed at record highs. Nasdaq Composite Index rose 0.56% to close at 18,074.52.

The rally came after shares of the artificial intelligence powerhouse NVIDIA Corporation. NVDA rose nearly 4% on reports that the CEO Jensen Huang has completed the sale of the company's shares according to a business plan.

The Federal Reserve's 50-basis-point rate cut has boosted the market: the Dow is up 1.55% since the beginning of September and the S&P 500 is up 1.49%.

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Analyst Notes: Contrary to expectations, the widely followed cryptocurrency trader Nagato They predict a “bubble peak” for the market in the fourth quarter of 2024.

“If you think that what is coming in the next few months will be even slightly comparable to the run-up we had in the first quarter of 2024, you have been successfully brainwashed,” the analyst warned.

Nagato added that the next quarter will be a “real crypto bubble.”