Bitcoin jumped more than 4% on Friday, reaching above $117,000, as the entire crypto market rallied following new comments from the Federal Reserve.

Here’s what happened: Fed Chair Jerome Powell admitted that inflation is still an issue but also pointed out signs of weakness in the job market. This mix of concern and caution made investors think the Fed might ease up on interest rate hikes soon. As a result, riskier assets like cryptocurrencies became more attractive again.

Bitcoin’s price surged past the $116,000 level, which many traders see as a key support zone tied to monthly trends. This breakout sparked fresh optimism, although some experts warned that investor mood has been flip-flopping recently. Just a week ago, Bitcoin was trading around the same level during a period of uncertainty and fear.

Ethereum also saw a major price spike, climbing above $4,600 in a single hour—one of its biggest hourly gains ever. Technical analysts say Ethereum could soon break out of an eight-year-long downtrend against Bitcoin, which might boost its value even further.

Other altcoins followed the trend. XRP broke past the $3 mark, leading to speculation about potential new highs. Solana and Dogecoin also gained strongly, adding to the market-wide rally.

Even though Powell didn’t confirm any interest rate cuts, his acknowledgment of economic struggles was enough to bring investors back into crypto. Bitcoin is currently leading the charge, but whether this surge lasts will depend on future actions from the Fed and whether crypto markets can maintain momentum.

As of now, Bitcoin is trading at around $117,253, up 4.17% for the day.

Keywords: Bitcoin price surge, Ethereum rally, Federal Reserve policy, Jerome Powell comments, crypto market news, inflation concerns, labor market weakness, altcoin performance, XRP breakout, Solana gains, Dogecoin rise, macroeconomic impact on crypto.