Standard Chartered has expressed optimism about the growth of the market cryptocurrency marketannouncing that the recent decline has reached its end and that Bitcoin’s (BTC) current correction indicates current termination crypto winter.
The call came from Geoff Kendrick, the bank’s Global Head of Digital Wealth Research, who said that Bitcoin’s decline of about $59,000 represented the low of the market cycle following a 53% pullback from its record high of $126,000 reached in October.
The bullish assessment comes as Bitcoin has recovered above $63,000 after a period of instability that saw the largest cryptocurrency in the world briefly fall below $60,000. As of press time, BTC traded at $63,882, having gained about 0.5% in the past 24 hours.
The recovery has been helped by improving business sentiment and easing the financial crisis that has weighed on the digital economy in recent months.
Despite the recent market turmoil, Standard Chartered has maintained its Bitcoin price forecast of $100,000 and continues to expect it to go beyond that. cryptocurrency market. The bank is also bullish on Ethereum, with a year-end goal of $4,000.
“I think we have now seen a decline in crypto asset prices.<...> Winter is over,” said the expert.
Bitcoin processing operators
According to Kendrick, the recent selloff was driven by a number of factors, including heavy outflows from the Bitcoin exchange (ETFs), Investor also prioritizing SpaceX’s public offering, and rising oil prices that pushed the US Treasury higher.
Spot Bitcoin ETFs have recorded nearly $5 billion in net outflows since mid-May, leading to massive selling.
Kendrick noted that some investors may ban cryptocurrencies to free up funds to participate The history of SpaceX.
A growing economic climate also contributed to the improvement. Rising tensions in the Middle East sent oil prices higher, fueling inflation concerns and making government bonds more attractive against riskier assets such as cryptocurrencies.
However, the storms have started to subside. The market sentiment increased after it showed the progress of the possible agreement between the US and Iran raised the hope that the disruption of electricity can be reduced, helping to lower the oil prices and raising the interest of the products that could cause accidents.
Bitcoin soared above $63,000 as sentiment grew, putting the cryptocurrency on track for weekly gains.
Standard Chartered said further confirmation of the market will come from the new Bitcoin ETF, lower oil prices, and other purchases of Bitcoin and Strategy. The bank believes that this can support the next phase of the recovery of the crypto market.
