Moody's, an international credit rating agency, downgraded the credit rating of the United States from the highest level of 'Aaa' to 'Aa1,' but the price of Bitcoin saw a slight increase.
According to CoinMarketCap, a global cryptocurrency market relay site, Bitcoin was trading at $105,081 at 7:30 a.m. on the 19th. This is an increase of 2.02% from 24 hours ago and 1.33% from a week ago.
Ethereum recorded a slight decline at $2,430, down 2.52% from a week ago. However, major altcoins like XRP, BNB, and Solana are showing sideways movements without significant impact from the downgrade of the U.S. credit rating.
This is the third time that the three major global credit rating agencies have downgraded the U.S. credit rating, following Standard & Poor's (S&P) in 2011 and Fitch in 2023. As a result, the United States has lost its top credit rating status with all three major global credit rating agencies.
Experts noted that the rise in Bitcoin is attributed to increasing uncertainty surrounding traditional assets such as Government Bonds, positioning cryptocurrencies, including Bitcoin, as a safe-haven asset.