“Bitcoin can go much higher due to an incredible confluence of factors”

According to investment firm Capriole Investments, “we have an incredible confluence of technicals and fundamentals that suggest bitcoin (BTC) will be going much higher.” This is mentioned in its most recent market report.

“Regulators claim that their actions are not influenced by the election, but once again we have seen that this is not the case,” he says. Despite the fact that the SEC, the US securities regulator, was opposed to approving ether exchange-traded funds (ETFs) (ETH), did so recently. Now this cryptocurrency is classified as a commodity.

Besides, Donald Trump, Republican leader, is collecting donations from bitcoiners for his election campaign, which positions him as an advocate for the industry. This, according to the report, has had an impact among Trump’s political rivals. “As a result, the Democratic Party makes a 180-degree turn in its anti-cryptocurrency stance,” highlights the investment company. “Four years of banking and government action against cryptocurrencies will be quickly erased in 2024,” he adds.

In addition to this, the launch of BTC ETFs has made it easier for institutional investors to purchase the currency. This benefits the price increase, as long as they maintain a long-term investment trend.

“Bitcoin is now integrated into the world’s largest banking institutions and all major stock markets. It’s not just about adoption, bitcoin has been institutionalized”

Capriole Investments, issuer of a bitcoin industry investment fund.

Meanwhile, money issuance and discussion grows over whether interest rates will fall this year in the United States. In this way, the investment company maintains that “the fiat monetary system is preparing once again for the next wave of devaluation.”

“With cryptocurrencies now firmly covering all financial rails and a new wave of electoral inflation beginning, the season of cryptosurfing It is upon us,” he warns. If the price of bitcoin closes June above USD 58,000, it is likely that it will reach USD 100,000 in the medium term.

In part, the investment company bases its projection on the fact that, beyond small relapses, at the moment there is no sustained contraction in the price. In fact, as the graph shows, it remains close to its all-time high of USD 73,700 recorded three months ago.

Bitcoin Miner Capitulation Suggests Buying Opportunity

As reported by CriptoNoticias, there is currently a capitulation of bitcoin miners, a phenomenon that tends to occur only once a year. Specifically, this concept refers to periods of decreasing hash rate. As seen below, in them, their 30-day daily moving average falls below 60 days.

In general, capitulations are caused by the closure of some “weak” miners (that is, with little capacity to face periods of low profitability) due to situations such as halving, which reduces their rewards by half. Historically, These periods have coincided with price falls before increases. “We would be remiss if we did not notice this rare buying opportunity,” Capriole Investments said in this regard.

We are currently in the month in which summer begins in the northern hemisphere, a season in which there is normally a financial pause. Therefore, the investment company points out that, although a rise for BTC seems inevitable eventually, “it may take some time to get the next momentum going.”

This Wednesday, announcements are expected that may mark the short-term direction of the markets. It is about the consumer price index (CPI) and the decision of interest rates in the United States. Meanwhile, bitcoin is trading at USD 66,000, 10% below the all-time high it registered this year.