Bitcoin surpassed $ 30,000 since June 2022, why did the sluggish Bitcoin price come here and rise?
Bitcoin exceeded $ 30,000 (about 4 million yen) for the first time since June 2022. The price of bitcoin was temporarily below $ 20,000 (about 2.7 million yen) due to the turmoil in the virtual currency market and the economic downturn, but why is the price of bitcoin rising here? , Overseas media are reporting whether this trend will continue in the future.
On April 11, 2023, the price of the virtual currency
Bitcoin price, volatility and profits are all the highest since June 2022 - but why? And will it continue?
Bitcoin (BTC) Climbs to $30,000 for First Time Since June in Rally - Bloomberg
Bitcoin price rises above $30,000 for first time since June 2022 | Bitcoin | The Guardian
Bitcoin hit a record high of $67,000 (about 7.7 million yen at that time) in November 2021, but after that the price plummeted due to turmoil in the virtual currency market and economic stagnation. In June 2022, the Bitcoin price fell more than 70% from its all-time high . The price of Bitcoin continued to stagnate and remained below $20,000 from summer 2022 to early 2023.
However, since the beginning of 2023, the price of bitcoin has risen at once, and since mid-March it has been around $ 28,000 (about 3.7 million yen). On April 11th, Bitcoin hit $30,000 for the first time since June 2022. “$30,000 is clearly a psychological magnet,” said David Brickell, director at Paradigm , a cryptocurrency-related investment firm. increase.
FF interest rate will be lowered in the future. In March 2023, major banks such as Silicon Valley Bank went bankrupt one after another in the United States, and it is expected that the Federal Reserve Board will be forced to stop raising interest rates.
Foreign media pointed out that the reason why the Bitcoin price is rising is that investors expect that the US
In addition, as the impact of the collapse of a major bank spreads throughout the financial market, some cryptocurrency enthusiasts are beginning to turn to cryptocurrencies, citing the danger of the entire traditional legal economy collapsing. . Venture capitalist Balaji Srinivasan said on Twitter in March 2023, ``Bet $1 million that the price of Bitcoin will exceed $1 million (about 130 million yen) by June 2023.'' He tweeted that he is quite bullish about the future prospects of Bitcoin.
Here are the remaining references, as Twitter has a limit on the number of links in one post.—Balaji (@balajis) March 17, 2023
I am moving $2M into USDC for the bet. I will do it with Medlock and one other person, sufficient to prove the point. See my next tweet. Everyone else should https://t.co/R3lQp7Ffdt … pic.twitter. com/ABxBmYmv9i
Alex Adelman, CEO of Lolli , a company that provides cashback benefits with bitcoin, said that while there was no clear reason why the price of bitcoin soared, the rise was due to the bullish market conditions of bitcoin and investors. Claimed to be a sign of trust. Bitcoin has moved from the so-called “crypto winter” into a new phase, with renewed interest from individual and institutional investors.
On the other hand, CoinJournal, a virtual currency media, points out that not only the price of Bitcoin but also the volatility that indicates the price fluctuation rate is high. Volatility tends to fluctuate due to events such as press releases and political developments, and illiquid products and currencies tend to be more volatile.
CoinJournal argues that there is a relationship between the rise in Bitcoin prices and the decline in volatility, and that the decline in liquidity due to the turmoil in the virtual currency market in recent years is one of the factors driving Bitcoin's flashy price movements. I'm here. In other words, the drop in volatility due to the drop in liquidity caused the positive interest rate forecast to cause the Bitcoin price to surge.
CoinJournal director Max Coupland said, “Poor liquidity makes the market vulnerable to large movements. However, this move may change if future economic data falls short of expectations.Bitcoin has always been volatile, but right now it seems likely that it will move particularly wildly. I can feel it,” he said.
in Note, Posted by log1h_ik