$BTC This Week's BTC Price Fluctuation Key Factors Review and Price Trend Analysis
Weekly Increase: 18.84% 12953U
1. Trump's Victory: Market expectations that Trump will be supportive of cryptocurrencies post-election have boosted investor confidence in BTC.
2. Large ETF Purchases: The significant inflow of funds into ETFs (such as $1.372 billion) has provided liquidity and demand for BTC, driving up prices.
3. Federal Reserve Rate Cut: The Fed cut rates by 25 basis points this week, increasing market liquidity, which is favorable for BTC.
4. Retail Investor Sentiment: Retail investor sentiment is high, increasing market activity and intensifying price momentum.
5. Gold and Bitcoin Substitution Effect: The depreciation of the dollar and inflation pressures have enhanced Bitcoin's appeal as 'digital gold', with some funds shifting from gold to Bitcoin.
6. The Arrival of Altcoin Season: Increased market attention on altcoins may divert some funds to other crypto assets, but BTC still maintains dominance.
Price Trend Analysis
1-Week Trend: In the short term, BTC prices are expected to continue benefiting from Trump's victory, ETF inflows, and interest rate cuts. Short-term support is around the 4-hour moving average, with an anticipated upward movement in the $80,000-$83,000 range.
1-Month Trend: In the medium term, BTC is likely to continue benefiting from market sentiment support from the election to the inauguration period, potentially approaching $90,000. The election narrative will continue to support prices, although a slight technical adjustment may occur in the market.
3-Month Trend: Looking ahead three months, if the new government maintains a supportive stance on cryptocurrency policy and the rate-cutting cycle continues, BTC is expected to approach $100,000 before the end of 2024, and could even break this psychological threshold during strong market sentiment. Additionally, sustained large inflows from institutions could push prices into higher ranges, potentially reaching $100,000-$120,000 before the formal inauguration of the U.S. President.
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