Jeffrey Kendrick believes that the bond market denies the likelihood of toughening the policy of the US Federal Reserve (Fed), and this is good for cryptocurrencies:
“The fact that the yield of 10-year-old US Treasury bonds remained at the mark of 4.5%, despite the strong data on employment in the United States, is a positive signal for bitcoin. The situation in which profitability is not growing, and the economy remains in good condition is an ideal scenario for cryptocurrencies. ”
If the profitability of ten -year -old treasury bonds will remain below 4.5%, Bitcoin can break through the key resistance level of $ 102,500 in the next few days, the analyst believes. If new negative catalysts do not arise like unexpected actions of legislators or macroeconomic upheavals, there is an opportunity to update the historical maximum above $ 108,000 at the end of February, said the head of the Standard Chartered bank.
The slowdown in business activity while maintaining the stability of the labor market reduces the need to hold high rates, creating the prerequisites for continuing the bull trend of the first cryptocurrency in the medium term, the expert summed up.
Earlier, the head of the Sygnum Investment Research Department, Katalin Tischhauser, said the purchase of bitcoins for $ 1 billion for a strategic reserve of the United States can lead to an increase in the market capitalization of the first cryptocurrency up to $ 20 billion.
Source: Bits
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