The growth of cryptocurrency quotes and the update of bitcoin (BTC) to a maximum since June 2022 are caused by two factors – the adoption by the US Federal Reserve System (FRS) of a plan to help troubled credit institutions to stabilize the banking crisis and the publication of an inflation report for March, which refers to a slowdown in inflation. This was told to bitcoinlinux on March 20 by BitRiver financial analyst Vladislav Antonov.
“Market participants’ expectations for Fed rates have changed, and bitcoin has partly acted as a defensive asset. Bank customers have not lost money, so they can redirect them to cryptocurrencies,” he added.
According to the expert, the key event for cryptocurrencies before the end of this month is the speech of Fed Chairman Jerome Powell.
“His decision will determine where the bitcoin rate will move in April. Now the road to the $33-34 thousand zone is open for bitcoin buyers. If after the US Federal Reserve meeting on March 22 there is no sharp correction, then after a sideways movement (about two weeks) we can expect an increase to $34 thousand,” he concluded.
Earlier in the day, it was reported that, according to CoinMarketCap, the value of BTC exceeded $28,000 for the first time since June 12, 2022.
On February 14, experts interviewed by bitcoinlinux expressed the opinion that support for the US banking sector by the authorities and the expectation of easing monetary policy in the West could provoke a further rise in bitcoin.
At the beginning of 2023, the Bitcoin exchange rate was at the level of $16.5 thousand. On February 16, BTC rose above $25 thousand.
