The Bitcoin price has recently increased significantly and is once again approaching a psychologically important threshold. An analyst identifies two central influencing factors.
• Bitcoin price has recently increased significantly
• Kraken expert sees two main drivers to reach $80,000
• Geopolitical situation in the Middle East and the profitability of US companies are crucial
After Bitcoin went through a phase of consolidation in the past few months, it has recently been able to pick up noticeably again. But Bitcoin is still around 40 percent below its previous high of $126,000 in October. This is because, despite the recent recovery, there is still no clear trigger for a sustained rally.
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However, according to DL News, Matt Howells-Barby, vice president of growth at crypto exchange Kraken, has now identified two key drivers that could determine the future performance of the world’s most popular cryptocurrency and push it above the psychologically important $80,000 mark.
Two macroeconomic drivers in focus
According to the expert, the focus of his market analysis is particularly on the development of the conflict in the Middle East and the strength of corporate profits in the USA. “If corporate earnings are strong and there are signs of an easing of the geopolitical situation, I would expect Bitcoin to rise sharply towards $80,000,” said the expert. “The demand is there, but at the moment we need a trigger for a price increase.”
This brings the macroeconomic environment into particular focus when it comes to Bitcoin: both geopolitical risks and the profit development of large US companies influence investors’ willingness to take risks – and thus also the demand for cryptocurrencies.
Macro environment remains dominant
The influence of external factors was also evident in the recent price development. According to DL News, the previous drop in the price of Bitcoin was due, among other things, to macroeconomic uncertainties as well as selling by large investors guided by the cryptocurrency’s historical four-year cycle.
However, there are now increasing indications that institutional interest is stabilizing. Bitcoin ETFs (based on data from DefiLlama) have recorded inflows of more than $2.3 billion since the beginning of March. These financial products allow large asset managers and pension funds to invest in Bitcoin in a regulated manner, driving continuous capital inflows into the market.
Thomas Zoller, editorial team at finanzen.net
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