The founders of the crypto analysis platform Glassnode say that the harsh policies of the US Federal Reserve (Fed) $101,762.8 Stating that it caused a decrease in its price, he predicts the recovery of BTC. Jan Happel and Yann Allemann told their followers on the social media platform
Fed’s Policies and Bitcoin Price
The founders stated that the net position change metric, which tracks the 30-day supply held on cryptocurrency exchanges, continues to give bullish signals. This metric shows that the decrease in the amount of Bitcoin on exchanges has a positive impact on the market.
Happel and Allemann stated that Fed Chairman Jerome Powell’s harsh tone caused Bitcoin to fall below $ 100,000, but Bitcoin could quickly return to $ 100,000. They also noted that Bitcoin withdrawal rates from exchanges have reached their highest levels of the year, and the accumulation wave continued in November. This increases the possibility of Bitcoin’s recovery.
Bitcoin Dominance and Altcoins
Analysts said the Bitcoin Dominance Ratio (BTC.D), which shows the ratio of Bitcoin’s market cap compared to other crypto assets, could indicate whether altcoins will outperform Bitcoin in a few days. Currently, the BTC.D rate is at 58.44%.
“Bitcoin dominance is considered a critical moment for the year-end dynamics. “Rising dominance may indicate a Bitcoin-focused rally, while falling dominance may open the door to a comeback for altcoins.” – Jan Happel and Yann Allemann
Bitcoin is trading at $96,450 at the time of writing and has lost 5.2% in the last 24 hours. Analysts state that Bitcoin’s exit rates from exchanges have reached record levels, which could have a positive impact on Bitcoin’s future performance.
Recent trends indicate that Bitcoin may enter a recovery period, as well as the decline in stock markets, combined with the overall market dynamics. However, considering that market conditions may constantly change, investors are advised to be careful.
Disclaimer: The information contained in this article does not constitute investment advice. Investors should be aware that cryptocurrencies carry high volatility and therefore risk, and should carry out their transactions in line with their own research.
