The price of Bitcoin (BTC) briefly fell below the $60,000 mark on Thursday. This was reflected in pessimism among investors, particularly in US spot exchange traded funds (ETFs), which recorded three consecutive days of outflows. Yet the international bank Standard Chartered sees a positive side to this price dip.
Long-term optimism despite geopolitical concerns
Geoff Kendrick, Head of Digital Assets Research at Standard Chartered, emphasizes that Bitcoin is increasingly acting as a hedge against traditional financial risks such as bank failures and de-dollarization.
Although Kendrick expects that concerns surrounding the situation in the Middle East could push the Bitcoin price below $60,000, he sees a positive long-term trend. He points out, among other things, the increasing activity in Bitcoin options trading and the possible impact of the upcoming US presidential elections.
Is a new bull run coming?
Many investors are hoping for a long-awaited bull run for Bitcoin. Since the halving in April, analysts have been speculating about a new rally. In the past, the halving has been a harbinger of price increases, with rallies in 2017 and 2021 starting about six months after the halving. In addition, this was often preceded by a price dip, such as during the corona crisis in 2021. This suggests that the current pessimism could be a possible precursor to a significant increase.
Whales buy en masse
Major Bitcoin investors, also known as whales, appear to agree with Kendrick’s analysis. Data from blockchain analysis platform CryptoQuant shows that this group of large owners continues to accumulate BTC en masse. This strategy is often seen as a sign of long-term confidence, despite the current short-term volatility.
Source: https://newsbit.nl/standard-chartered-bitcoin-koers-onder-60-000-biedt-geweldige-koopkans/
