"Is everything okay if suddenly the price of BTC goes up like crazy tomorrow? Or does anyone not like it?"
The price of the cryptocurrency king Bitcoin (BTC) has currently managed to break the much-awaited $63,000 level. So, listed below are five reasons why BTC price may be poised for a significant climb soon.
Miner Capitulation
The capitulation level implies that weak miners are forced to close their operations and this means that the selling pressure exerted in the crypto market will decrease thus paving the way for a potential BTC price recovery.
German BTC Sale Ends
The German government has recently concluded a widespread sale of BTC that already started on June 19, 2024, so here it can be seen that the crypto market over the past few weeks has absorbed almost $3.5 billion in BTC liquidations.
In the wake of no more possible sales from the German government, the price of BTC is expected to continue to rise higher than its current levels in the near future, comments noted crypto analyst Michael van de Poppe.
Whale BTC Collection
Taking advantage of the price drop, the whale has acquired 71,000 BTC over the last week which brings its total transactions in the BTC network to $41.32 billion and this could drain the supply of BTC further leading to a surge in prices.
Global Inflows Into BTC ETFs
BTC ETFs around the world have seen incredible inflows, with Hong Kong's BTC ETF increasing its reserves by 28.6% since the end of June 2024 while Australia's Monochrome Bitcoin ETF (IBTC) is approaching the 100 BTC mark.
While the net inflow of BTC ETFs of the United States (US) has exceeded $1.1 billion in just one week, which shows that institutional interest in BTC is increasing.
High Probability of Interest Rate Cuts by the Federal Reserve (Fed)
Following the reversal movement in US equities, Bloomberg analyst Mike McGlone predicts the Fed will cut interest rates in September 2024 and there is a 90.3% probability of that happening.
Lower interest rates usually lead to a weaker US dollar and increased investor interest in alternative assets like BTC, so here it can be seen that prices could see significant growth.
