Factors That Could Push Bitcoin Price Up: Analysts Reveal
• Bitcoin has recently been trading below its key level of $22,000.
• Crypto market analysts are predicting a bumpy ride in 2023.
• Factors such as the US Dollar Index and the Fed’s interest rate hikes might influence crypto prices ahead.
Bitcoin Struggles to Regain Lost Key Level
Bitcoin has been struggling to regain its lost key level of $22,000 and is currently trading around $21,500. The overall crypto market had gained massive profits at the beginning of 2023 but has seen a sell-off due to SEC’s move against Kraken and speculation that Coinbase might be next. Market experts believe that the cryptocurrency market will have a bumpy ride in 2023 until at least the third quarter of 2023.
Factors Influencing Bitcoin Price
The US Dollar Index (DXY) is said to have an influence on Bitcoin price as it is observed that Bitcoin mostly follows DXY – thus if DXY continues its positive move, BTC could soon regain its rally again. Meanwhile, the Federal Reserve’s interest rate hikes are expected to continue until inflation rate drops below 2%. This decision could also affect crypto prices ahead depending on what comes out from January CPI report scheduled for Feb 14th.
Crypto Analysts‘ Opinions
Crypto analysts Delphi Digital claim that the Crypto market will have a bumpy ride in 2023 while Kevin Kelly and Jason Pagoulatos speculate that negative macro events will further pull down the market till at least Q3 of 2023.
SEC Move Against Kraken
The SEC’s move against Kraken was unexpected which resulted in a major sell-off and after Kraken decided to end its staking service traders speculated that Coinbase will be next. This event gave rise to concerns over how the crypto market would fare in coming days.
In conclusion, there are several factors which could influence cryptocurrencies like Bitcoin prices ahead such as US Dollar Index movements and Federal Reserve’s interest rate hikes among others; however these decisions often depend on macro events such as January CPI report scheduled for Feb 14th which can help predict future trends better.