Bitcoin Price Rally Fueled by Perfect Storm

Bitcoin (BTC) surged to a record price of $126,223, driven by a combination of economic factors including ETF inflows, supply constraints, and government shutdown fears. Following a brief retreat, BTC's price stabilized around $125,200, showing a 1.5% increase over the previous 24 hours. The rally also positively affected other cryptocurrencies, notably Ethereum (ETH), which rose 4% to about $4,700, and Dogecoin (DOGE) and BNB, each seeing gains of around 6%. Analysts from Deribit highlight a 'perfect storm' of macroeconomic trends supporting BTC's rise, projecting potential price targets around $130,000. However, caution is advised due to overbought conditions that could trigger a pullback to between $118,000 and $120,000. Overall, the market remains optimistic as October, historically known for bullish transitions, unfolds.

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