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Bitcoin

Top 3 Coins Price Prediction Bitcoin, Ethereum and Ripple: BTC eyes drop to $10,500?

  • MicroStrategy, a publicly-traded business intel firm, has recently bought an additional $175 million worth of Bitcoin. 
  • US Federal Reserve’s quantitative easing through 2023 may push more investors to Bitcoin.
  • Analyst CryptoWhale cited four reasons as to why XRP is better than BTC. 

Bitcoin

US Fed’s quantitative easing to push more investors towards Bitcoin?

The US Federal Reserve has recently announced that it will keep interest rates near 0% through 2023 – a move that could potentially push more investors towards cryptocurrencies. The Fed noted that near-zero interest rates would likely help the US recover from the economic fallout from the COVID-19 pandemic. 

In a press conference, Fed Chairman Jerome Powell said: 

With regard to interest rates, we now indicate that we expect it will be appropriate to maintain the current 0 to 0.25% target range for the federal funds rate until labor market conditions have reached levels consistent with the committee’s assessment of maximum employment and inflation has risen to 2% and is on track to exceed 2% for some time.

According to a Decrypt report, Charles Bovaird, Vice President of Content at Quantum Economics, said that the low-interest rates could make investors turn to non-interest-bearing assets like Bitcoin. In his opinion, investors drawn to certain assets because they pay interest will now have less incentive to invest their money into them.

The world of traditional finance has already been looking to gold and digital assets amid the pandemic’s economic fallout. A few days back, the correlation between gold and Bitcoin prices reached record-highs, indicating that the digital currency is becoming more of a safe-haven asset. That could continue if low-interest rates create a snowball effect.

BTC is in the early stages of a major bull market, Pantera Capital CEO

The US Federal Reserve recently said that it would keep interest rates near 0% through 2023. In a Blockchain Letter, Dan Morehead, the CEO of Pantera Capital, criticized the Fed’s quantitative easing and advised people to buy Bitcoin. He noted that corporate America is in for a brutal third-quarter earnings season while stocks continue to ignore the fundamentals and find new highs. 

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