The first reason for the increase in the price of the first cryptocurrency experts called the “flywheel of tariffs” by US President Donald Trump. World manufacturers and exporters accelerate imports, increase stocks of goods and increase production in order to get ahead of the emergence of new American import duties.
This procurement wave provoked the expansion of lending, as well as the transition to high -risk assets, including cryptocurrency, which has become a kind of insurance from increasing inflation and uncertainty in the markets, QCP Capital experts explained.
The second factor that gave rise to a new historical maximum of bitcoin, analysts called the growing demand for an asset by large corporations and investment funds, expressed in a stable tributary of funds in spot exchange funds for Bitcoin.
The accumulation of cryptocurrency with large holders and the weakening of the US dollar create an additional positive background for the growth of first cryptocurrency quotations, the QCP Capital said.
If Bitcoin holds a support level of $ 115,000, he will be able to overcome the mark above $ 120,000 and gain a foothold, experts are sure. The current situation resembles a perfectly tuned clock mechanism, where each element works in unison with the general dynamics of the market, the QCP Capital experts summed up.
Earlier, Bloomberg experts reported that dozens of small companies are using the capital market capital to buy bitcoin. This can threaten the formation of a new bubble capable of undermining the stability of the cryptor in the medium term.
Source: Bits
I am an experienced journalist, writer, and editor with a passion for finance and business news. I have been working in the journalism field for over 6 years, covering a variety of topics from finance to technology. As an author at World Stock Market, I specialize in finance business-related topics.
