Bitcoin prices to surge past $70,000 in the next few weeks!
Say the news headlines, quoting experts who track the world’s largest cryptocurrency.
In fact, if you look at the movement of Bitcoin, in just five sessions in the run-up to October 18, the cryptocurrency surged from $62,800 to almost $68,000 – clocking an 8% rise.
With this kind of momentum, the $70,000 mark doesn’t seem too difficult to achieve.
But what’s fuelling this surge in Bitcoin prices? Stay with us as we dive into those factors.
The first factor that has the Bitcoin bulls excited is a pledge from Democratic presidential candidate Kamala Harris, who is currently the Vice President of the United States. Harris has pledged to support a regulatory framework for cryptocurrencies. The Democratic Party has not been seen as pro-crypto in the past, and therefore this change in stance has energised the crypto markets.
While Harris has shifted gears on the crypto front, her Republican rival Donald Trump has already had a favourable stance towards the crypto industry. In fact, Trump has positioned himself as a champion of ending the crackdown on cryptocurrencies.
Now, with both US presidential candidates singing a favourable tune, the cryptocurrency industry expects a smoother regulatory path in the times to come.
The second factor helping Bitcoin soar is the surge in liquidity across the world.
The United States Federal Reserve has recently cut its key interest rate, and so has the European Central Bank.
In the last few weeks, the world’s second-largest economy, China, has also announced a series of measures to boost its economy.
All these measures are resulting in a world flush with liquidity. Now, a significant part of these funds is likely to chase high-return assets such as cryptocurrencies.
The third factor adding to the Bitcoin cheer is business intelligence firm MicroStrategy’s plan to become a bitcoin bank.
The company’s executive chairman, Michael Saylor, recently told analysts at Bernstein that he sees MicroStrategy in the core business of creating Bitcoin capital market instruments. Saylor sees Bitcoin as a powerful hedge against inflation, and he believes that over time, the cryptocurrency will become essential for both institutional and retail portfolios.
With all these tailwinds, Bitcoin has already seen a stellar run in the past few sessions.
Some technical analysts expect the world’s biggest cryptocurrency to now surge to up to $80,000 by the end of 2024.
What’s your take on cryptocurrencies? Do you find Bitcoin an attractive investment opportunity? Or do you stay away from it? Let us know in the comments. And don’t forget to subscribe to Business Hook for more in-depth coverage like this.