Crypto expert Michaël van de Poppe has made a bullish case for Bitcoin, as he alluded to macroeconomic factors that could soon work out in favor of the flagship crypto. In line with this, he urged Bitcoin investors to take action with a parabolic wave on the horizon.
An impending quantitative easing would be good for Bitcoin
From de Poppe suggested in an X (formerly Twitter) post that Bitcoin will rise thanks to quantitative easing (QE), which he expects is “close.” He noticed that the Fed has already started phasing out government bond buybacks and reducing the QT interval [Quantitative Tightening].” He claims this happens because the economic data has deteriorated, putting the US at risk of recession.
That’s why the Fed is trying to avoid this recession by buying back bonds long-term government bonds and injecting liquidity into the financial system. As the crypto expert predicts, this could be a good thing as it will force the Fed to take a dovish stance and possibly cut interest rates, thereby investor confidence to go all-in on risky assets like Bitcoin.
Van de Popper further predicts that this quantitative easing will become evident from data released in the coming months. In line with this, he advised investors to long Bitcoin. It is worth noting that Bitcoin fell to as low as $57,000 in the run-up to the latest FOMC meeting, where many investors seemed to have expected an aggressive stance from the Fed.
However, as a crypto expert notedinterest rates remain unchanged, and Fed Chairman Jerome Powell already raised the possibility of a rate cut in June. Given Bitcoin’s price recovery since then, this development already appears to be reviving bullish sentiment among investors.
What to expect in the future
In another X message, Van de Popper revealed his expectations for the future crypto market. He stated that Bitcoin will consolidate and move sideways (possibly in the run-up to QE, which will push prices higher in the coming months. Meanwhile, he also expects Altcoins to “perform greatly and rotation begins.”
The crypto expert does earlier echoed a similar sentiment when he stated that he expects altcoins to bounce in their Bitcoin pairs Bitcoin is facing a period of consolidation that he does not expect anything to change in the coming months.
At the time, he also said there would be a narrative shift Ethereumand he confirmed this belief in a more recent article X messagestating that he expects a lot from the second largest crypto token in terms of market capitalization.
At the time of writing, Bitcoin is trading around $59,100, up more than 2% in the past 24 hours. facts from CoinMarketCap.
BTC bulls reclaim control of price | Source: BTCUSD on Tradingview.com
Featured image of Seu Dinheiro, chart from Tradingview.com
Disclaimer: The article is for educational purposes only. It does not represent NewsBTC’s views on buying, selling or holding investments and of course investing involves risks. You are advised to conduct your own research before making any investment decisions. Use the information on this website entirely at your own risk.
