TL;DR Breakdown
- Fed says the economy is strong.
- Interest rates to increase in 2023.
- Bitcoin upward trend to continue.
Bitcoin seems to have resumed its earlier upward trajectory. This follows a recent announcement by the Fed that the US economy is strengthening. The Fed announcement also hinted at a possible rise of interest rates sometime in 2023 if the economy continues to hold strong. That comes as good news for the crypto community as analysts predict another Bitcoin bullish breakout.
Economic factors
Employment opportunities seem to be growing, meaning that more people are getting more money that could then be used to invest in Bitcoin. That’s despite the fact that some of the economic sectors are yet to recover from the effects of the global pandemic. In that case, it’s fair to opine that the BTC market will get even more attention as the sectors recover and more money flows.
A few days ago, BTC had slumped back to the ranges of $57,000, but the Fed announcement seems to have revved up the market, pushing the top coin to the highs of $59,000. At the time of this writing, Bitcoin is trading at around $58,500, and the charts are green, signaling a possible increase in price in the coming days.
Bitcoin trend to continue
While Bitcoin hasn’t been strong enough to maintain an over $60k value, analysts agree that the crypto is well-poised for an upward trend. One analyst, going by the twitter handle “PlanB,” opines that BTC’s price will surpass the $100k mark. The analyst went on to claim that while the price action has been impressive year-to-date, the coin’s market movement is still in its early stages.
Bitcoin’s price has largely been affected by the growing institutional attention, with the likes of Grayscale and MicroStrategy leading the big-money pack in aggressive accumulation. Just recently, Grayscale announced the addition of 5 more altcoins to its growing list of digital assets available as investment tokens.
Cryptopolitan Academy: Coming Soon - A New Way to Earn Passive Income with DeFi in 2025. Learn More
