Markus Thielen, the mind behind 10x Research, projects that Bitcoin will soon soar past $70,000, hitting an unprecedented $73,000 by the close of October. He attributes this potential rise to an influx of stablecoin liquidity and a softening monetary stance in China, both of which are expected to fuel the cryptocurrency’s rally.
Can Bitcoin Maintain Its Upward Trajectory?
Thielen argues that Bitcoin’s current levels, exceeding $65,000, signify a departure from its previous downturn. He anticipates this upward trend will persist, with his analyses suggesting a potential peak around $75,000. This optimism is bolstered by various technical indicators, highlighting continued momentum.
How Is China’s Policy Influencing Bitcoin?
China’s past involvement in Bitcoin mining and its recent economic incentives are pivotal to the Bitcoin rally, according to Thielen. He notes that mining pools from China, once responsible for 90% of trading in 2014, have recently seen a resurgence, contributing significantly to Bitcoin’s global standing.
Several key points emerge from Thielen’s insights:
- Bitcoin’s rise past $65,000 marks a positive shift in market sentiment.
- Chinese economic policies could further boost Bitcoin’s value.
- Federal Reserve policies and Ethereum’s rising fees pose potential challenges.
- Stablecoin minting, particularly from Circle, has increased liquidity.
Thielen also considers geopolitical factors, suggesting that a Trump re-election could pressure the Federal Reserve into maintaining lower interest rates. This scenario might prolong the Bitcoin rally into 2025. As of now, Bitcoin hovers around $65,500, reflecting a robust market response to recent monetary changes and liquidity increases.