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Bitcoin’s Path to $180K 🤩
Bitcoin’s spot price continues its bullish trajectory, leaving little room for bearish sentiment. However, the options market’s skew toward puts signals cautious hedging amidst the rally. #VanEck predicts Bitcoin could hit $180k by Q1 2025, driven by positive market sentiment.
Adding to the momentum, #FASB ’s adoption of fair value accounting for Bitcoin enables corporations to report gains directly in net income, enhancing the appeal of holding BTC in treasuries. This regulatory shift could trigger a feedback loop, amplifying institutional demand and fueling Bitcoin’s upward momentum.
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#Binance
#crypto2024
Bitcoin’s spot price continues its bullish trajectory, leaving little room for bearish sentiment. However, the options market’s skew toward puts signals cautious hedging amidst the rally. #VanEck predicts Bitcoin could hit $180k by Q1 2025, driven by positive market sentiment.
Adding to the momentum, #FASB ’s adoption of fair value accounting for Bitcoin enables corporations to report gains directly in net income, enhancing the appeal of holding BTC in treasuries. This regulatory shift could trigger a feedback loop, amplifying institutional demand and fueling Bitcoin’s upward momentum.
If you enjoy my content, feel free to tip me ❤️
#Binance
#crypto2024
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🚀Bitcoin hit a new all-time high yesterday, and the FASB bill coming into effect may be the main reason for the market frenzy
Bitcoin set a new historical high yesterday, reaching over $106,000. Analysts believe that this surge is mainly due to an accounting bill passed in 2023, which officially took effect yesterday. This bill, proposed by the Financial Accounting Standards Board (FASB) two years ago, now allows all publicly traded companies in the United States to include Bitcoin on their balance sheets.
The previous accounting bill only allowed assets to be valued at the purchase price at the time of acquisition, but after the new FASB bill was passed, companies can use the current market value of the assets for valuation. For example, MicroStrategy purchased Bitcoin at an average price of $60,000, and with the current market price exceeding $100,000, they could achieve about a 70% return.
Under the old accounting method, companies could only calculate the asset value based on the purchase price, but now the appreciation is also included. Therefore, as the value of Bitcoin grows over time, the financial performance of these publicly traded companies can be reflected in their financial reports.
Currently, many companies hold Bitcoin, including MicroStrategy, Tesla, and Block (formerly Square). After the implementation of this FASB bill, we will see the profits these companies gain from their Bitcoin asset allocation in the next financial reporting period. This will also lead Wall Street analysts to reassess the stock values of these companies.
In the long run, as long as Bitcoin is on an upward trend, companies holding Bitcoin will show positive effects in their financial reports and stock prices. Therefore, the implementation of the FASB bill may encourage more publicly traded companies or businesses to include Bitcoin in their asset allocation over the next year.
However, Bitcoin experiences cyclical fluctuations every four years and will inevitably encounter bear markets. The key is whether investors can stick to a DCA strategy, like MicroStrategy, and continue to purchase Bitcoin during bear markets, which will also be a crucial factor in whether investors can profit in the long term.
What are your thoughts on the impact of the FASB bill coming into effect on Bitcoin prices? Will this affect publicly traded companies' investment decisions regarding Bitcoin?
#比特币新高 #FASB #资产负债表 #上市公司 #投资策略
Bitcoin set a new historical high yesterday, reaching over $106,000. Analysts believe that this surge is mainly due to an accounting bill passed in 2023, which officially took effect yesterday. This bill, proposed by the Financial Accounting Standards Board (FASB) two years ago, now allows all publicly traded companies in the United States to include Bitcoin on their balance sheets.
The previous accounting bill only allowed assets to be valued at the purchase price at the time of acquisition, but after the new FASB bill was passed, companies can use the current market value of the assets for valuation. For example, MicroStrategy purchased Bitcoin at an average price of $60,000, and with the current market price exceeding $100,000, they could achieve about a 70% return.
Under the old accounting method, companies could only calculate the asset value based on the purchase price, but now the appreciation is also included. Therefore, as the value of Bitcoin grows over time, the financial performance of these publicly traded companies can be reflected in their financial reports.
Currently, many companies hold Bitcoin, including MicroStrategy, Tesla, and Block (formerly Square). After the implementation of this FASB bill, we will see the profits these companies gain from their Bitcoin asset allocation in the next financial reporting period. This will also lead Wall Street analysts to reassess the stock values of these companies.
In the long run, as long as Bitcoin is on an upward trend, companies holding Bitcoin will show positive effects in their financial reports and stock prices. Therefore, the implementation of the FASB bill may encourage more publicly traded companies or businesses to include Bitcoin in their asset allocation over the next year.
However, Bitcoin experiences cyclical fluctuations every four years and will inevitably encounter bear markets. The key is whether investors can stick to a DCA strategy, like MicroStrategy, and continue to purchase Bitcoin during bear markets, which will also be a crucial factor in whether investors can profit in the long term.
What are your thoughts on the impact of the FASB bill coming into effect on Bitcoin prices? Will this affect publicly traded companies' investment decisions regarding Bitcoin?
#比特币新高 #FASB #资产负债表 #上市公司 #投资策略