In two days, an important event for the entire financial market and the crypto industry in particular will take place – the American Federal Reserve will announce its next decision on the key interest rate. Ahead of the speech by the head of the US financial regulator, participants in the crypto community shared their forecasts.
What’s happening with Bitcoin
Bitcoin began the new working week with trading below the level of $70,000. As of the time of writing, the cryptocurrency is trading at $69,605, which is approximately 5% below the absolute maximum recorded on March 14, 2024 at $73,750.
Almost two months have passed since the fourth halving on the Bitcoin network. The event, as observations show, triggers the growth of BTC to new highs. Previous halvings have shown that Bitcoin needs about six months for a shortage of coins to arise in the market, which helps the cryptocurrency demonstrate positive dynamics.
The growth of BTC this time can also be supported by spot Bitcoin ETFs. Market participants record inflows into the instrument for twenty days in a row. Demand for Bitcoin ETFs forces fund issuers to buy BTC, pushing the cryptocurrency rate up.
All eyes on the USA
Until the next Fed decision on rates left 2 days. Against the background of the release of fresh data on the US labor market, over 99% of market participants expect that the American regulator will leave the rate at the same level. In this case, the crypto market will not receive the expected support. The fact is that lowering the rate increases the investment attractiveness of such high-risk assets as cryptocurrency. In the absence of changes, participants in the crypto community do not have to hope for an active rise in prices.
Crypto investors believe that the United States can support Bitcoin in another way – by running the “printing press” at full capacity. Printing and injecting dollars into the economy as part of the quantitative easing policy, which the American authorities may be forced to resort to, can cause BTC to grow, as part of the money will “settle” in the crypto industry.
Bitcoin forecast from investors
Many in the crypto community believe that BTC is on the verge of growth. Positive market sentiment is indicated by the results of online surveys.
Immortal blogger survey results. He asked followers if they thought the bullrun was over. Over 72% answered negatively. Source: X
For example, trader Captain Faibik is confident that Bitcoin is preparing to break out of the “expanding wedge” technical analysis pattern. Going beyond its upper limit, in his opinion, will open the way for the cryptocurrency to grow above $94,000.
Trader Titan of Crypto in turn waiting Bitcoin at $100,000 in the summer of 2024.
The growth prospects for BTC, according to participants in the crypto community, are also indicated by the activity of large investors. Whales, according to observations from representatives of the crypto industry, are actively taking long positions in Bitcoin. The founder of Cryptoquant, Ki Yong-joo, clarified that the level of $69,000 has become especially attractive for large investors.
Analyst Michael van de Poppe, in turn, noted that the positive dynamics of the crypto market can also be supported by instability in the geopolitical arena.
Source: Cryptocurrency
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