AsBitcoinapproaches$70,000onceagain,marketspeculatorsareeyeingthepossibilityofitsurpassingrecordlevelslastseeninMarch.
OptimismaroundriskierassetsisgrowingasinvestorspreparefortheupcomingU.S.elections.
“Aftersixmonthsofpriceconsolidationthisyear,thestageissetforaperfectstorminfavorofBitcoinandothercryptocurrencies,”saidBrettMunsterofBlockforceCapital.Munsterpointedtothesurgeingloballiquidity,particularlyfromChina,whichhasrecentlyimplementedaseriesofstimulusmeasuresaimedatrevivingitseconomy.
Bitcoinrose2.9%to$68,376onWednesdaybeforefallingslightlytoaround$67,800.BTClastreached$70,000inJulyandhitanall-timehighof$74,000inMarch.
“Globalliquidityhasbeenontheriseagainascentralbanksaroundtheworldhaveinjectedcheapcapitalintotheireconomies,”Munstersaid.“Inthepast,whengloballiquidityhasbreacheditsmovingaverage,ithastypicallycoincidedwithsignificantupwardmovementsinthepriceofBitcoin.”
Addingtothemarket’soptimism,VicePresidentKamalaHarristhisweekpledgedtosupportaclearregulatoryframeworkforcryptocurrencies.Thedevelopmentcomesafteryearsofcomplaintsfromthecryptoindustry,whichhascriticizedU.S.officialsforregulatingbyforceratherthanprovidingregulatoryclarity.Meanwhile,formerPresidentDonaldTrump,whoisrunningforre-electionagainstHarris,isactivelyseekingsupportfromcryptovotersandhasseveralcrypto-relatedinitiativesunderway.
*Thisisnotinvestmentadvice.
en.bitcoinsistemi.com