US Treasury Bond Buybacks Could Push Bitcoin to $180,000
Experts predict that US bond buybacks could have a positive impact on Bitcoin.
1US Treasury Bond Buyback Plan
The US Treasury plans to regularly purchase long-term government bonds. Starting with $4 billion in transactions, this plan could increase to $10-$30 billion per month. This move is seen as a response to rising long-term borrowing costs. Bond buybacks could support bond prices and help lower yields.
2Impact on Bitcoin
Macro strategist Mark Connors suggests that US bond buybacks could reduce pressure on risky assets like Bitcoin. High bond yields have been diverting investors to government bonds. However, bond buybacks could lower these yields, potentially benefiting Bitcoin. Connors predicts Bitcoin could rise to $180,000.
3Role of Banking Regulations
Connors expects a relaxation of the SLR (Supplementary Leverage Ratio) regulation, which determines the amount of bonds banks can hold. This would allow banks to purchase more government bonds. Such a development could help Bitcoin gain value. Connors believes this process could trigger Bitcoin's rise to $180,000.
4Bitcoin's Short-Term Movement
Connors sees $72,000 as a key resistance level for Bitcoin in the near term. Breaking above this level could lead to short positions being closed, potentially accelerating Bitcoin's rise. However, the lack of progress on the CLARITY Act in the US could push Bitcoin below $72,000.
5Investor Expectations
Bitcoin reaching $180,000 is seen as a significant target for investors. Connors believes this target could be achieved by 2030. Additionally, Bitcoin could rise to $360,000 within this cycle. These predictions highlight Bitcoin's long-term potential.
6Impact of Short Positions
Bitcoin breaking above $72,000 could lead to the closing of short positions. This could accelerate Bitcoin's rise. Jim Ferraioli, Director of Crypto Research at Charles Schwab, notes significant short position concentration at this level. Closing short positions could support Bitcoin's upward movement.
7Importance of the CLARITY Act
The CLARITY Act in the US is seen as a key factor for Bitcoin's short-term movements. Connors warns that if the bill does not progress by September 15, Bitcoin could fall below $72,000. This poses a significant risk to Bitcoin's near-term outlook.
8Bitcoin's Long-Term Potential
Bitcoin's potential to reach $180,000 presents a significant opportunity for investors. Connors believes achieving this target would underscore Bitcoin's long-term value. Predictions of Bitcoin rising to $360,000 further capture investor interest. These forecasts paint a promising picture for Bitcoin's future.
Original article: INCRYPTED — ABD Devlet Tahvili Alımları Bitcoin'i 180.000 Dolara Çıkarabilir