Bitcoin hits new high, MicroStrategy pops on Nasdaq 100 inclusion: Yahoo Finance

(BTC-USD) topped $106,000 for the first time. The cryptocurrency is surging on hopes of a rate cut from the Federal Reserve on Wednesday.

Bitcoin price hit a new all-time high on Tuesday, continuing its surge ahead of a key interest rate decision from the Federal Reserve.

BTC price rose to $106,000 for the first time ever on Tuesday morning, according to CoinDesk data. The cryptocurrency is now up more than 100% year-to-date and has more than tripled in value since the beginning of 2021.

Bitcoin's rally comes as investors are betting on a rate cut from the Fed on Wednesday. The central bank is widely expected to lower interest rates by 25 basis points, which would be the first rate cut since March 2020.

A rate cut would typically boost risk assets like stocks and cryptocurrencies, as lower interest rates make it more attractive to invest in these assets. However, some analysts have warned that a rate cut could also lead to higher inflation, which would be negative for Bitcoin and other cryptocurrencies.

Also in the crypto world on Tuesday, MicroStrategy (MSTR) shares jumped after it was announced that the company would be joining the Nasdaq 100 (^NDX) index. MicroStrategy is a business intelligence and mobile software company that has become one of the largest corporate buyers of Bitcoin.

Other trending tickers on Yahoo Finance include:

* Palo Alto Networks (PANW)

* Super Micro Computer (SMCI)

* SoundHound AI (SOUN)