Selloff or Market Correction? Either Way, Here's What to Do NextSee Overvalued Stocks

Bitcoin Might Skyrocket 100% as China Cuts Interest Rate

Published 07/22/2024, 09:55 AM
Updated 07/22/2024, 02:00 PM
© Reuters.  Bitcoin Might Skyrocket 100% as China Cuts Interest Rate
BTC/USD
-

U.Today - As the broader crypto ecosystem focuses on the likely commencement of trading for spot Ethereum ETFs, Bitcoin, the world’s largest digital cryptocurrency, seems set for an uptick. Based on signals from historical trends, Bitcoin is about to skyrocket by up to 100% to take its price over $120,000.

China and Bitcoin trigger

Notably, Jamie Coutts, a renowned crypto analyst, in a post on X, notified followers of the move by the People’s Bank of China (PBoC). The bank recently injected some liquidity and cut th interest rate by 10 basis point in a bid to support growth in the country.

According to Coutts, such liquidity injection has always had a corresponding effect on the crypto space. According to records, this pattern traces back to 2016. Each time the PBoC injects capital into the economy, Bitcoin appreciates by a minimum of 100% the next month.

Based on this analysis, there is anticipation in the broader crypto community that August is going to be bullish. Some analysts say the bullish pattern will extend to altcoins such as Ethereum, Shiba Inu and XRP, among others.

Currently, Bitcoin has rebounded positively after the dip it suffered following sales of BTC by the German authorities, which caused a bearish trend on the market for a while. However, Bitcoin has managed to surge more than 12% within a single week with a massive weekly candle.

Analysts foresee new highs for Bitcoin

Per CoinMarketCap data, Bitcoin is trading at $67,383.33, up 0.77% in the past 24 hours. Meanwhile, Bitcoin bull Michael Saylor is also bullish about the digital asset. In a recent post on X, he shared a graph of Bitcoin’s progress against other assets, including gold.

In an earlier U.Today report, based on the Bollinger Bands, Bitcoin is projected to reach $140,000 and a new all-time-high of $190,000 within a 12-month period.

This article was originally published on U.Today

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.