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  • Consequences of high Fed rates: how bitcoin will adjust in March
    2024-03-21 09:30:00

    In marketing, there is a battle for attention. That is why it is important to predict events and their consequences to stay one step ahead. According to financial analyst Andriy Shevchyshyn, we may see a correction of the BTC rate in March this year. This may be due to the Fed's decision on the interest rate and its future prospects. He shared his thoughts in the Delo.ua article "Waiting for the halving. What awaits the bitcoin rate this spring".

    "Investors may experience a longer period of high rates and start withdrawing money from funds, taking profits. This could have a significant impact on the price dynamics. Although the correction may be painful and amount to up to 20% relative, it will not be long," Shevchyshyn said.

    In the event of such a correction, it will be possible to buy crypto assets at more attractive prices and then make money on their further growth, the analyst said.

    "The current baseline scenario for bitcoin remains in the range of $67 to $69 thousand, with profit-taking at this level," the expert adds.

    At the same time, Maxim Oryshchak, an analyst at the CMT, believes that if the price correction occurs due to a failure in the US stock market, the rate may fall by 30% in March to $43-44 thousand.

    Nevertheless, recent data shows record trading activity on both crypto exchanges and spot ETFs. This can lead to the BTC rate reaching even $70 thousand and above.

    "But it should be remembered that records of trading activity often coincide with market peaks and lows, which should be taken into account," warns Oryshchak.

    Analysts predict a steady growth of bitcoin during the April halving period, but do not rule out the possibility of significant course corrections. In particular, experts at Finder predict that by the end of 2024, the price of bitcoin will rise to $77.4 thousand, in 2025 - to $122.6 thousand, and in 2030 - to $366.9 thousand. These conclusions were made based on the latest January survey of 40 crypto market participants.

    In a conversation with Finder, Komodo CTO Kadan Stadelmann explains the possibilities of bitcoin's growth to $80 thousand in 2024 due to the growing interest of large companies and institutional investors, as well as the approval of spot ETFs, which makes the price impact on bitcoin more significant.

    In their report, Bitfinex analysts claim that the launch of ETFs has created passive demand for the first time in BTC history, which will lead to new historical highs by the end of 2024.

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