Does the weak dollar drive Bitcoin? Blackrock and the Federal Reserve trigger a ‘Megafuerza Shock’

By Canuto

The US Federal Reserve and Blackrock have lit the alerts in crypto and financial markets. The weakening of the dollar, added to the boom of the Bitcoin ETFs and the support of giants such as Blackrock, could trigger a ‘megafuerza shock’ in the price of Bitcoin. Analysts foresee new historical maximums for the main cryptocurrency, while geopolitical fragmentation and new commercial policies agitate the global board.
***

• Bitcoin approaches USD $ 100,000 driven by the weakness of the dollar and strong investments in ETFs.
• Blackrock and Standard Chartered anticipate that geopolitical fragmentation and the fall of the dollar will benefit Bitcoin.
• Analysts expect that Bitcoin could reach USD $ 120,000 in the second quarter and up to USD $ 200,000 by the end of the year.

---

In recent weeks, Bitcoin has experienced a remarkable rebound in parallel with technological actions, impacted by leaks that have revealed significant concerns in the financial establishment to a possible “infection” of cryptocurrencies.

The BTC price is strengthened and touched on the USD $ 100,000 barrier while investors and analysts warn a possible turning point driven by changes in US monetary policy and key movements of giants such as Blackrock.

According to Forbes, the Federal Reserve of the US faces the end of the “highest dollar for longer”, which has resulted in bullish expectations for the crypto market. A renowned investor recently urged “buying everything” before the Fed adjusts its position, evidencing the growing correlation between the macroeconomic environment and cryptocurrencies.

The global context drives Bitcoin: Dollar fall and new forces at stake

The president of the Federal Reserve, Jerome Powell, is going through a stage of uncertainty. Deutsche Bank analysts have declared Marketwatch that the “previous conditions for a strong downward trend” of the US dollar are now given.

They point to a radical change in commercial policy and a global leadership reevaluation of the US leadership as catalysts of this phenomenon, preparing the land for strong market movements.

The trend has been reinforced by the difficult inflation environment. Despite the aggressive Fed approach by keeping interest rates, internal pressures, including calls from former president Donald Trump to reduce them, have generated tensions.

According to Deutsche Bank, their forecasts now point to a prolonged cycle of depreciation of the dollar, which increases the risks of market dislocations and regime ruptures in a context of great global uncertainty.

Bitcoin records and the role of Blackrock in the new economic order

During the last days, the price of Bitcoin exceeded USD $ 95,000 while traders exhibit optimism and bet that the negative sequelae of tariff policies begin to dissipate. Proof of this is the entrance of USD $ 3.4 billion in crypto investment products, one of the highest weekly figures in history according to the Coinshares asset manager.

This includes a strong demand for Bitcoin ETFs Spot in the US, approved last January and led by giants such as Blackrock.

James Butterfill, director of Research at Coinshares, explained in a report cited by Forbes that the dramatic weakening of the dollar and the concern for the consequences of tariffs are leading investors to Bitcoin and other digital assets considered as new value shelters.

Bitcoin’s performance in April is eloquent: a 20% rise from its lowest point feeds expectations to break all records and establish a new historical maximum price. For Geoff Kendrick, global crypto research head at Standard Chartered Bank, the rebound seems “imminent”, anticipating that Bitcoin will exceed USD $ 110,000 during the second quarter and could reach USD $ 120,000 if support conditions persist.

Kendrick highlights the constant accumulation by large holders (whales) and the recent ETF flows as signs of a massive investment reallocation, especially from gold to Bitcoin. Their forecasts suggest that cryptocurrency could even reach USD $ 200,000 towards the closing of 2025, driven by these same megaters.

Geopolitical fragmentation and Bitcoin’s boom: Blackrock’s vision

Geopolitical fragmentation acquires a central prominence in the narrative on Bitcoin. Jay Jacobs, global director of themes and ETF active in Blackrock – the world’s largest asset manager, with more than USD $ 10 billion under administration – it shows that this fracture will be a “mega -strength” that will transform the global economy during the next decades.

In dialogue with CNBC, Jacobs pointed out an accelerated Bitcoin growth in response to the greatest international destabilization and a search for alternative assets. According to him, cryptocurrency begins to decoup down the behavior of technological actions, demonstrating little correlation and strengthening its status as an active refuge against global volatility.

Blackrock has not only led the approval of the IBIT and other Bitcoin ETFs Spot on Wall Street, but its CEO, Larry Fink, acknowledged in 2023 that he had previously underestimated Bitcoin’s potential, which he now described as a “digital gold” and a legitimate financial tool. This marks an important turn in the manager’s strategy, which also explores a digital alternative, based on blockchain, the US dollar.

Thus, the incursion of traditional actors in the crypto space, together with the geopolitical fragmentation and the doubts about the strength of the dollar, reinforce the attractiveness of Bitcoin and suggest major changes in the world financial landscape.

New future scenarios and perspectives for Bitcoin

The current geopolitical and economic environment draws a possible scenario of rupture with old certainties. The recent acceleration of entries in Bitcoin ETFs, added to the warnings of investment banks and institutional acceptance, seem to lay the foundations for a new stage of prominence of cryptoactives.

Although the upward forecasts invite optimism, experts warn that volatility will continue to be a determining factor. Fluctuations in Fed policies, new sanctions or regulations, and movements between large BTC holders can precipitate sudden changes in prices.

For now, the thesis of the “megaforza” of geopolitical fragmentation by promoting Bitcoin wins traction between analysts, institutional investors and global strategists. The narrative around the weak dollar and the search for alternative shelters, with Blackrock and other institutional giants at the head, redefines the rules of the game and presents unpublished opportunities and risks.

Given this panorama, the crypto market and especially Bitcoin, are in the center of a storm of economic, political and technological forces whose evolution could define the next great chapter of world financial history.

---

Original image of Diariobitcoin, created with artificial intelligence, for free use, licensed under public domain.
This article was written by an AI content editor and reviewed by a human editor to guarantee quality and precision.

WARNING: Diariobitcoin offers informative and educational content on various topics, including cryptocurrencies, AI, technology and regulations. We do not provide financial advice. Cryptactive investments are high risk and may not be adequate for all. Investigate, consult an expert and verify the applicable legislation before investing. I could lose all its capital.