Bitcoin’s Risk Factor Remains High, Crypto Analyst Notes
Crypto analysts believe Bitcoin Still a very risky asset, related to the shift in the macroeconomic landscape.
Bloomberg’s crypto journalist Emily Nicolle gave her bitcoin as the eldest son cryptocurrency fell 13% and entered bear territory. This may be due to macroeconomic uncertainty and political factors.
“Extremely risky asset”
Nigul said on Bloomberg TV interview The current Bitcoin movement is highly correlated with changes in the macroeconomic landscape, adding that anything that happens on Wall Street can affect cryptocurrencies.
Crypto reporters explained that investors can never violate the impact of the big environment on Bitcoin, saying: “Stocks are also beating everything that happens with crypto stocks.”
Nicole described Bitcoin as a “very risky asset.” “So when there is turmoil in the S&P 500, you’ll see that in Bitcoin as well. So, it’s definitely playing,” she added.
Analysts added that the cryptocurrency sector has experienced tough times besides the macroeconomic environment. “We had 15 billion hackers last week. We also had some turmoil in terms of political situations,” she continued.
Just a week ago, cryptocurrencies faced frustration This may be the largest cryptocurrency hack in history after a North Korean hacker group stole $1.5 billion worth of cryptocurrency from Bybit.
“Bitcoin is still performing very well even today,” Nicole said in an interview.
Political uncertainty
Nicole also pointed out that political uncertainty is another factor in bringing Bitcoin into bearish territory. US President Donald Trump vows to establish The regulations are clearer About cryptocurrencies, but these have not been reached yet.
“Some of the things Trump promised to do in the campaign have not been forceful yet, and these are the catalysts we hope to use it as a potential advantage of Bitcoin in the coming weeks, such as strategic Bitcoin reserves,” she explained.
The crypto analyst pointed out that the macro environment has a very strong potential for Bitcoin. “If we don’t have any action on this, if things don’t start to look up elsewhere, Bitcoin will continue to decline,” she predicted.
Watch the $70K trademark closely
Nicole said cryptocurrency traders are closely following the $70,000 mark, a vital psychological and technical support area.
“We’re all looking for the mark at about $70,000 right now. So if it does continue to drop, which is what you can expect in the current environment, then that’s the next point we’re going to start thinking about. That’s where a lot of risks happen,” she explains.
Analysts describe Bitcoin as “lifting the tide of all ships”, so when it rises, so will other cryptocurrencies. “But when markets are turbulent, those smaller cryptocurrencies are harder to hit. By comparison, they are just more turbulent,” she added.
Featured images from Fairplanet, charts from TradingView
