However, this time might be different as the cryptocurrency isn’t negatively impacted by the data. In fact, the digital token might ignore it if it beats estimates and cements the case for a Fed taper. A weak report would be positive for asset prices in general.
What differentiates this time from old times is that the Bitcoin market is more focused on the U.S. regulators soon approving a futures-based Bitcoin exchange-traded fund (ETF).
“Bitcoin is looking too strong here,” said Pankaj Balani, CEO of Delta Exchange. “The cryptocurrency has digested all the negative news that has come out of China in the past few weeks, which is a very positive sign.”
“There has been fresh spot buying activity in BTC, and looking at the price action, we expect to see a fresh ATH in the coming weeks,” he said, referring to an all-time high. The current record is $64,801, reached in April.
According to Singapore-based QCP Capital, there has been an overwhelming amount of outright buying in CME-based futures. “There are many reasons to be bullish; the stabilization of the Evergrande situation, possible upcoming approvals for BTC ETFs in the U.S., more traditional finance stalwarts like Soros Fund Management turning crypto-positive,” QCP Capital said.
