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Analysis: The rise in U.S. stocks may indirectly prevent Bitcoin from reaching a historic high before the "halving"

Analysis: The rise in U.S. stocks may indirectly prevent Bitcoin from reaching a historic high before the "halving"

2024/02/18 01:28

Cryptocurrency analyst Marcel Pechman wrote in an analysis that data shows investors expect earnings growth of SP 500 companies to reach 10.9%, higher than the 3.8% in 2023. Assuming the risk brought by current inflation is equivalent to the risk when Bitcoin reached its historical high, investors are likely not motivated to seek alternative assets. For Bitcoin to rise from its current level of $52,000 to a new high of $70,000, it needs an additional increase of 34.5%, which means that the market value of Bitcoin will increase by $350 billion. However, as long as the dollar continues to depreciate, there is still hope for Bitcoin to rise above $70,000 but this is unlikely before April's block reward "halving".

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Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.

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