Bitcoin could reclaim the $80,000 mark
Bitcoin (BTC) saw a price decline on Thursday after failing to conquer the $82,000 level. The retest of the $76,000 level on Monday resulted in the liquidation of $400 million in "long" positions over four days. Although the 7% drop has negatively impacted trader confidence, the cryptocurrency's chances of returning to the $80,000 level remain. This is reported by Cointelegraph.com reports.
MicroStrategy purchased $2 billion worth of BTC over the past week. The company, led by Michael Saylor, is employing innovative approaches to reduce capital costs and raise cash through equity offerings. Additionally, the company repurchased $1.5 billion in debt due in 2029, limiting future share dilution and paving the way for new acquisitions.
From a macroeconomic perspective, the rise in US 10-year Treasury yields to 4.60% could be a positive signal for Bitcoin. As the US Treasury's debt burden grows, the Fed may continue to purchase bonds, potentially weakening the USD. In such conditions, investors tend to shift their capital toward hard assets, particularly gold and Bitcoin.
Rising oil prices and inflationary pressure are limiting the scope for monetary policy easing. Nevertheless, while the US stock market remains near its historical highs, Bitcoin is still valued 39% below its all-time high. This suggests significant growth potential for the cryptocurrency.
