While Bitcoin is experiencing stagnation, even a very slight increase, speculations arise regarding the potential involvement of the whales, the big investorstaking into account a massive injection of $10 billion into BTC. This increase in interest in investments takes place in a complex financial context. Jerome Powell recently suggested that to effectively curb inflation, the United States may have to resort to further rate hikes.
Moreover, the purported association of Robinhood with a recent purchase of BTC for an amount of 3 billion dollars raised eyebrows, with many attributing this to positive Bitcoin price action. During this time, the JPMorgan analysts hint at a possible upside for cryptocurrency enthusiasts, suggesting that the prolonged bear market may soon reach its conclusion.
Experts suggest more rate hikes to curb inflation
Federal Reserve Chairman Jerome Powell’s warning of persistent inflation and possibility of further interest rate hikes has caught the attention of the economic world and cryptocurrency in particular. He spoke during the jackson hole symposiumacknowledging the progress made in reducing inflation, but emphasizing the need to do more to meet the Fed’s 2% target.
Moreover, he highlighted the steady progress made through a “restrictive monetary policy” to reduce high underlying inflation, currently at 4.3%. The Fed official also pointed to falling property prices and a slowing real estate sector as signs that rate hikes are dampening demand. As inflationary concerns persist, Powell’s position could impact the trajectory of traditional markets and cryptocurrencies.
Robinhood’s involvement in the $3 billion Bitcoin purchase draws the attention of observers
There recent connection between a Bitcoin address and the popular trading platform Robinhood has generated considerable interest and could drive the price of BTC higher. This link has the potential to reshape the crypto landscape by giving retail investors greater leverage while introducing some market vulnerabilities.
The sudden rise of this previously mysterious address to become the third largest BTC holder raises questions, though Robinhood has yet to confirm or deny the association. Robinhood’s Q2 filing, revealing $4.24 billion in Bitcoin holdings, matches speculation about their ownership of the address.
This situation calls into question the idea that the growth of Bitcoin is based solely on institutions, highlighting the impact of retail investors. However, the involvement of speculative traders within Robinhood’s user base introduces risks, such as potential sell-offs due to regulatory delays.
Additionally, Robinhood’s new prominence may attract the attention of regulators. On another side, the emergence of Robinhood could encourage the development of more secure and regulated ETFs, thus providing a safer route to investment. Therefore, it adds an edge to the value of BTC.
JPMorgan Analysts Predict End of Cryptocurrency Bear Market
JPMorgan analysts, led by Nikolaos Panigirtzoglou, have just signaled the potential end of the cryptocurrency bear market, according to their CME Group Bitcoin Futures Study. Despite recent declines, Bitcoin (BTC) and the broader crypto market have seen a resurgence with a total market value reaching approximately $1.05 trillion as of August 25, 2023.
THE JPMorgan experts attribute this positive turn to CME’s positions in Bitcoin derivatives markets, suggesting that the recent downtrend may have come to an end. In addition, JPMorgan analyzes in its report the delisting of bitcoin from SpaceX holdings and the potential of ETFs. Market strategists finally note that the conclusion of the unwinding of many long positions has contributed to the recent easing in BTC/USD prices.
Bitcoin Price Prediction
On Saturday, the technical aspect of Bitcoin remains stable despite the volatility of the markets. The value of Bitcoin has risen from its price flirting with the $25,500 level yesterday. He Looks like BTC/USD is experiencing an upside correction, with the possibility of hitting a value of $27,400.
According to the Bitcoin price chart on Tradingview, BTC even has the potential to surpass this amount and hit around $28,650. Bitcoin’s growth potential remains intact despite recent fluctuations. However, if Bitcoin price falls below $25,450, it could drop to around $24,100.
Top 10 Alternatives to Bitcoin and Ethereum to Watch
Cryptonews Reviewed top 10 cryptocurrencies for 2023. If you are looking for a higher potential investment opportunity, there are many other projects worth considering.
Disclaimer: This linked article presents the views of crypto industry players and is not part of the editorial content of Cryptonews.com