Why is Bitcoin down today? Waiting for Bitcoin price surge? Positive statements from top executives suggest 2024 will be big year for BTC.
Bitcoin is climbing back to record highs, and a Goldman Sachs exec called this an ‘astonishing turning point.’
Meanwhile, on X, an unnamed analyst has compared Bitcoin’s price action to a familiar pattern from 2017, just before Bitcoin’s legendary run.
You're looking at the first breakout of #Bitcoin against M1 money supply since March 2017 when it went historically parabolic for 9 months. pic.twitter.com/KMf73COvNh
— TechDev (@TechDev_52) May 31, 2024
Technical analysis trader Peter Brandt replied. “This chart is amazing.”
The real news, however, is that politically speaking and market-wise, Bitcoin has a lot going for it this year. Hint hint: Money printing is coming back in some form or fashion. Here’s what’s up.
Janet Yellen Issues $34 Trillion Warning For Bitcoin
U.S. Treasury Secretary Janet Yellen recently issued a $34 trillion warning about the US debt, which could trigger further volatility.
Bitcoiners, like European economists, are betting on ballooning debt and a Fed return to money printing and rate cuts by year’s end.
Bitcoin kicked off 2017 under $1,000 and rocketed to almost $20,000 by year’s end.
Right now, it follows that same pattern, especially if rates are lowered. Alex Kuptsikevich, senior market analyst with FxPro, added:
“Technically, bitcoin has already broken the resistance of the descending channel and is testing horizontal resistance,” he commented. “The ability to go above $71,000 opens the way for a renewal of historical highs, which could happen very quickly.”
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All Eyes on the Federal Reserve For Q2 Price Moves
The market’s on edge, wondering if the Fed will jump on the rate-cut bandwagon. Some insiders say not until 2025, but with inflation cooling and growth slowing, a cut might come sooner.
Today’s job report showed major hints of a slowing economy:
- 4% unemployment
- 250,000 in the labor force
- 408,000 employed
- Labor force participation rate dipping to 62.5%
Keep an eye on next week’s CPI report. If inflation has fallen again, as it did last month, we could see rate cuts very soon.
Current Cleveland Fed CPI Nowcast estimates for May CPI due out next week:
Headline MoM: 0.08%
Core MoM: 0.30%Current estimates for May PCE:
Headline MoM: 0.10%
Core MoM: 0.23%If headline CPI is inline and core below 0.3%, we'd expect rate-cut odds to jump big. pic.twitter.com/sPsyqx8cJX
— Bespoke (@bespokeinvest) June 7, 2024
Bullish Predictions and Technical Analysis Surround Bitcoin Price
Banking on rate cuts and a return to financial stimulus, Standard Chartered’s forex and digital assets research head Geoffrey Kendrick reiterated his bullish $150,000 price target for BTC by 2025.
Rekt Capital, another popular crypto analyst, emphasized the importance of Bitcoin achieving a weekly close above $71,300 to confirm upward momentum.
“We’re still in an accelerated cycle. Instead of 260 days ahead of schedule, we’re ahead 170 days, but this could rapidly change if we get a weekly candle close above this range high resistance [$71,300],” explained Rekt Capital in a YouTube video.
One thing is for sure: the economy and crypto are hot topics, with RFK Jr., Trump, and Biden all taking crypto donations and clarifying their digital currency stances.
Rate cuts or quantitative easing—something’s gotta give to relieve Americans.
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Disclaimer: Crypto is a high-risk asset class. This article is provided for informational purposes and does not constitute investment advice. You could lose all of your capital.
