Bitcoin’s recent ascent, hitting levels unseen in over a month, has sparked curiosity and speculation about when its value might return to six figures. The question on everyone’s mind is: what exactly will that take? The answer, surprisingly, may not be as complex as you’d expect.
As of 1:30 pm ET, Bitcoin was trading around $93,700, an impressive 12% increase from a week ago. This surge, according to YouHodler markets chief Ruslan Lienkha, can be attributed to the crypto market’s solid foundation of “long-term structural growth drivers.” These include deeper integration with traditional finance (TradFi), improved regulatory clarity in the U.S., and increased adoption through Bitcoin ETFs, among others.
A noteworthy point to consider is the recent inflows into the U.S. spot BTC funds, as per the tweet below:
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However, Bitcoin’s journey to new all-time highs above $109,000 has been hindered by a myriad of factors. Uncertainty surrounding U.S. tariff policy, future Federal Reserve actions, and the looming threat of a recession have all contributed to this stagnation, triggering a broader stock market instability in recent weeks.
Despite this, Lienkha remains optimistic, stating that “Bitcoin does not require a strong equity rally to move higher. Simply a stable and less volatile macro backdrop would likely be sufficient to support renewed upside momentum.”
Even as Bitcoin crashed alongside equities earlier this month, it has recently deviated from its pattern of mimicking the high-beta version of U.S. tech stocks. BitMEX co-founder Arthur Hayes, in a blog post and conversation with Forward Guidance’s Felix Jauvin, suggested that Bitcoin may be seen as a digital refuge.
Hayes wrote, “Now that the global community believes Trump is a madman crudely and savagely wielding the tariff weapon, any investor with US stocks and bonds is looking for something whose value is anti-establishment. Physically, that’s gold. Digitally, that’s Bitcoin.”
Hayes further argues that major economies printing money to soften the impact of declining globalization could provide a significant boost for Bitcoin. As the world navigates through these uncertain times, the appeal of Bitcoin as a digital safe haven only seems to be growing.
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