Analyst Explained: Bitcoin Rise is Supported by These Two Critical Details! - Coin Bulletin

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Bitcoin has experienced a significant rise past the $87,000 level. Analysts note that Bitcoin's rise is supported by an increase in global liquidity and a resurgence of institutional interest.

The price of Bitcoin has increased by 2.4% in the last 24 hours, reaching the level of $87,325. This rise has been particularly reinforced by the global increase in M2 money supply and institutional investors starting to buy Bitcoin again. The company Strategy of Michael Saylor, known as MicroStrategy (MicroStrategy), previously purchased 3,459 BTC. This development has led to a tightening of Bitcoin's supply, causing its price to trend upward.

Kronos Research analyst Dominick John states that Bitcoin's rise is a result of the increase in global liquidity and the resurgence of institutional interest due to the rise in M2 money supply. John expressed that the rally of Bitcoin is supported by signals from Strategy to increase the amount of BTC they hold. This situation has led to a contraction in Bitcoin supply, allowing its price to move upward.

John also points out that for Bitcoin to truly transition into a bull market, the Federal Reserve needs to maintain interest rates at a steady level to sustain capital flows. "For Bitcoin to fully enter a bull cycle, it is critical that the Fed maintains interest rates and supports capital flows. Additionally, clarity on Trump's trade tariffs will be decisive in ensuring broad market stability and boosting investor confidence," says John.

Bitcoin’s performance in April, surpassing major stock indices like S&P, Nasdaq and the US tech giants known as the "Magnificent 7", is noteworthy.

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