The Bitcoin rate arrives today with a slight increase of 0.10 percent over the last 24 hours. This means that the number one of the market is $ 117,700. Today’s big winner seems to be Ethereum, with an increase of 5.46 percent over the last 24 hours.
Why do the prices rise today?
To start with, there was the inflation report from the United States yesterday. It was expected that we would see the impact of the taxes for the first time, in the form of a higher inflation score.
Inflation was indeed a bit warmer than the month before, but not as hot as they had expected. Perhaps that windfall provides some optimism on the market compared to yesterday morning.
Furthermore, according to 21Shares researcher Matt Mena, there is a structural imbalance between the demand for and the supply of Bitcoin. For that reason, according to him, a longer correction is very unlikely.
“There are now many more positive than negative things,” said Mena.
Correction possible for Bitcoin
Although Mena is positive about Bitcoin under the line, he cannot fully exclude a reversal.
It is certainly possible that Bitcoin consolidates or even sees a relapse. If Trump’s taxes are ultimately stricter than the market is expected, or Powell signales that interest rates are further away from us than expected, risk -investments, including Bitcoin, can still see considerably, “says Mena.
Nevertheless, Mena labels a longer correction over the next six months as “unlikely.” As soon as the summer is over and the liquidity returns, they expect the upward momentum to resume.
Source: https://newsbit.nl/bitcoin-op-117-700-maar-ethereum-steelt-de-show/
