Markus Thielen of 10x Research predicts Bitcoin will reach $70,000 in two weeks, surpassing its all-time high of $73,000 by late October due to increased stablecoin liquidity and China’s economic stimulus. Recent trends suggest substantial institutional involvement in the cryptocurrency space, yet concerns exist regarding Bitcoin’s market dominance amid rising altcoin activity.

Markus Thielen, an analyst at 10x Research, has made an optimistic prediction regarding the future price trajectory of Bitcoin. He anticipates that Bitcoin is poised for a swift ascension to $70,000 within the next two weeks, with the potential to surpass its all-time high (ATH) of $73,000 by the end of October. Thielen attributes this anticipated rally to two key factors: a notable increase in stablecoin liquidity and recent stimulus measures enacted by China. In his latest market update, Thielen pointed out that Bitcoin’s recent breakthrough above $65,000 serves as a confirmation of its departure from a bearish trend and sets the stage for this upward momentum. His analysis suggests that, during this upcoming rally, Bitcoin’s price could escalate to as high as $75,000. A significant surge in stablecoin minting has been observed since July, with major issuers such as Tether and Circle collectively issuing nearly $10 billion in the weeks following a Federal Open Market Committee (FOMC) meeting on July 31. Thielen noted that Circle has accounted for 40% of these inflows, indicating substantial involvement from institutional participants in the cryptocurrency market. Moreover, Thielen highlighted China’s historical connection to Bitcoin and its recent monetary easing policies as contributing factors to this potential price surge. He emphasized that 55% of the Bitcoin currently mined originates from Chinese mining pools, and the country was responsible for 90% of global BTC trading in 2014. Thielen contends that China’s stimulus plan, amounting to $278 billion, could result in significant capital outflows into the cryptocurrency space, potentially igniting a parabolic rally not only for Bitcoin but for various digital assets as well. In a related context, it was mentioned that the potential re-election of Donald Trump could influence market dynamics, as he may pursue policies that over-stimulate the U.S. economy, leading the Federal Reserve to lower interest rates significantly by mid-2025. This context aligns with Arthur Hayes’ perspective on a forthcoming ‘volatility supercycle’ within the cryptocurrency market driven by global monetary easing strategies. While Thielen remains optimistic about Bitcoin’s growth potential, he raised concerns about its market dominance, which may be under threat. Following the recent FOMC meeting where interest rates were reduced, Bitcoin’s dominance has slightly declined, with Ethereum experiencing increased activity and elevated transaction fees. Thielen anticipates this trend may persist if the Federal Reserve continues to consider further rate cuts. At the present time, Bitcoin’s price rests at approximately $65,500, reflecting a decrease in trading volume of over 33% within the previous 24 hours, with total trading transactions amounting to $26.3 billion during this same period.

The current analysis of Bitcoin’s price movement is framed within a broader context of recent monetary policies and market dynamics. Analysts are closely observing the implications of increased liquidity in stablecoins, which are pegged to traditional currencies, and the impact of China’s economic policies. Historically, China has played a significant role in Bitcoin mining and trading, making its fiscal strategies crucial for understanding potential future trends in the crypto market. The intersection of these factors has created a conducive environment for speculations about Bitcoin’s ability to achieve new price milestones, particularly against the backdrop of shifting global economic conditions.

In summary, Markus Thielen of 10x Research projects a notable upward movement in Bitcoin’s price, with expectations of reaching $70,000 shortly and potentially breaking its all-time high by late October. This optimistic forecast is underpinned by increased stablecoin liquidity and China’s stimulus initiatives, which could catalyze significant investment flows into the cryptocurrency market. While there lies potential for Bitcoin’s substantial growth, concerns about its market dominance warrant attention. trading volumes and market activities may affect Bitcoin’s trajectory. As developments unfold in the economic landscape, Bitcoin’s position in the market will remain a focal point for analysts and investors alike.

Original Source: coingape.com

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