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Bitcoin’s struggles to overtake a level of $ 105,000 because American macroeconomic headwinds remain a challenge.
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Permanent influx from institutional investors and the strength of $ 100,000 support for growing trust in bitcoins.
Bitcoin (BTC) Since May 10, she tried to break over $ 105,000, which led traders to the question of whether the bull dynamics had disappeared. Although the BTC managed to get back $ 104,000, the demand for long positions has fallen sharply, as indicated by a decline in bitcoin bonuses.
On May 14, the annual bitcoin futures reached 7%, but then dropped to 5%, close to the neutral to intermediate threshold and corresponds to the level that was seen four weeks ago when BTC traded around $ 84,500.
This decrease in demand for lever bull positions seems to be associated with wider macroeconomic uncertainty because the price of bitcoins carefully monitored movements on the stock market.
Futures S&P 500 reversed the early weakness of 15 May, which coincided with the bounce of bitcoins from 101,800 to $ 104,000. Investors seem to be more confident that the US cash register will be forced liquidity After the chairman of the Jerome Powell federal reserve system warned that “supplier shocks” could maintain interest rates higher for longer than expected.
There were also signs of economic weakness. The US Labor Statistics Office stated that the April price index of the producer fell by 0.5% compared to the previous month, while economists who asked Factset expected an increase of 0.2%. According to Reuters, the limited risks of investors are also influenced by the ongoing global trade voltageBecause the tariff agreement from the US – China remains only a temporary solution.
Demand for fixed income increased, while the yield from the 10 -year US Treasury fell to 4.45% after reaching 4.55% on May 14, reverse the trend of the previous week. Historically, bitcoins tend to function better when government bond yields are increasing because these signals have reduced confidence in the ability of the Ministry of Finance to raise their debt.
Bitcoin’s Assembly at $ 105,000 on macroeconomic trends
To assess whether traders simply avoid the lever effect or actively bet on a fall in prices, it is useful to analyze Bitcoin require. The Bear Sentiment period usually pushes the Delta BTC bevel indicator over a neutral 6% threshold.
Unlike expectations, bitcoin options (sales) traded at a discount compared to call options (purchase), signing strong confidence in the $ 100,000 support level. Optimism, which was seen on May 14, however, disappeared, and the indicator is now at a neutral -4%.
Related: What does a ten -year revenue of the Ministry of Finance for crypt revenues and stablecoins
As the price of bitcoins closely reflected the US stock market, the chances of breaking over $ 105,000 largely depend on macroeconomic development, such as trends in the balance sheet of US federal reserves and recession. In particular, the high correlation of bitcoins with the S&P 500 rarely persists for more than two months.
Pure Bonfish $ 320 million to Bitcoins in the USA Funds traded on the stock exchange (ETF) 14 May point to the ongoing institutional demand. This suggests that investors are gradually moving their perception of bitcoins from the risk of asset to a UnzornedThis can reduce the likelihood of sharp price correction, even in the absence of strong lever bull positions.
This article is for general information purposes and is not intended and should not be considered legal or investment advice. The opinions, ideas and opinions expressed here are the author himself and do not necessarily reflect or present the opinions and opinions of Caintelegraph.
