Bitcoin and other cryptocurrencies saw a significant rise on Friday, lifting the price of Bitcoin to over $63,000 as traders eagerly awaited a fiscal update from the Chinese government scheduled for Saturday.

Bitcoin, which is the largest cryptocurrency by market capitalization, increased by 7% from a recent low of under $59,000, defying the trend of losses commonly seen during U.S. trading hours. In the past 24 hours, it has gained approximately 5.5%, outperforming the broader CoinDesk 20 Index, which rose by 4.7%.

Tokens from Solana (SOL), Avalanche (AVAX), and Render (RNDR) led the recovery among major altcoins, each posting gains of 6%-8%. The only token on the CD20 Index that recorded a slight loss was Uniswap (UNI), which fell back slightly after its prior surge fueled by plans to launch its own layer-2 network.

The ongoing rally in the crypto market coincides with gains in stock indices like the Dow Jones and S&P 500, which both reached new highs. Concurrently, the U.S. dollar index stabilized just below the 103 mark after a sustained period of growth, as traders adjusted their expectations concerning potential interest rate cuts by the Federal Reserve, following solid employment figures and inflation reports.

Crypto-related stocks also benefited from the positive market sentiment. Notably, Bitcoin mining firms such as Marathon Digital Holdings (MARA), Riot Platforms (RIOT), and Bitdeer (BTDR) saw their shares increase by 5%-10%. Coinbase (COIN), a leading U.S. cryptocurrency exchange, experienced a 7% rise.

Additionally, MicroStrategy (MSTR), the largest corporate holder of Bitcoin with nearly $16 billion in assets, surged 16%, marking its highest value since March 2000. Notably, the company's share price premium compared to its Bitcoin holdings has grown to its largest since 2021.

China's Fiscal Policy Update May Affect Crypto

According to Coinbase analysts David Duong and David Han, macroeconomic factors influencing cryptocurrency values have been shifting focus from monetary policy towards the outcome of the U.S. elections. The forthcoming fiscal policy update from China, expected early Saturday UTC, is anticipated to influence market conditions significantly. Investors hope for additional financial stimulus to bolster the Chinese economy, which might have ripple effects across digital asset markets.

"As most markets will be closed during this briefing, we expect that traders may revert to crypto markets to gauge reactions to China's fiscal announcements," the analysts noted.

Markus Thielen, founder of 10x Research, also expressed optimism about the U.S. economy's stability, suggesting that it sets a favorable environment for risk assets moving toward the year-end and that significant movement in crypto prices is imminent.

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