Bitcoin (BTC) price crossed the $70,000 barrier today, March 10, during trading, solidifying its recovery after hitting a low of $65,513 last weekend.
This upward movement Representing an increase of nearly 3.5% in the past 24 hours And it is up 15% from the lowest point recorded on February 6, when the digital currency was listed on the Binance exchange for $60,074.
The recent easing in oil prices has given financial markets some respite.
Brent crude, the benchmark standard for two-thirds of the world’s oil, currently stands at $93. This comes after it broke the $100 level yesterday, March 9th, for the first time since 2022. This energy price adjustment comes amid heightened geopolitical tensions in the Middle East..
The situation became critical on February 28, when the United States and Israel began airstrikes on Iranian territory. An act that provoked an armed Iranian response against American targets.
As part of the escalation, the Iranian regime began a blockade of the Strait of HormuzIt is a key artery through which around 20% of global oil exports and nearly 35% of crude oil circulate, according to a report by CriptoNoticias.
Despite the strategic importance of this route between the Persian Gulf and the Gulf of Oman, the oil market remains Demonstrates a certain level of resilience.
The United States’ vulnerability to a Strait of Hormuz crisis is minimal because it is primarily supplied by Canada and Mexico. Although Asian powers such as China, India, and South Korea are critically dependent on that step.
When oil prices fall, the threat of an inflationary spiral is (temporarily) reduced. This fact could make the system even more liquid. This optimistic environment is one of the factors driving Bitcoin..
There is institutional support and demand.
However, along with the macroeconomic outlook, other factors that influence the price of digital currencies should also be considered. This includes trends in Bitcoin Exchange Traded Funds (ETFs) and their performance. Provides basic support for quotation BTC.
the flow of income into these financial instruments; constantreflecting the continued investment appetite of institutional investors.
Yesterday, March 9, capital inflows into Bitcoin funds reached $167 million. In fact, during Recorded inflows of $1.3 billion in the past two weeks.
Companies that control these products must purchase Bitcoin and hold it in their treasury to support their activities. If there is demand for these financial products, companies will have to go to the market and buy more BTC. Due to the law of supply and demand, That drives up the price of digital currencies.
What do the technical forecasts show?
From a technical analysis perspective, the current price structure is suggests a stabilization phase After February’s volatility.
Bitcoin found a solid bottom at $65,000. Market analyst Michael van de Poppe believes: It could reach $75,000. “If prices stabilize there, it opens the way to $80,000 this month.”, comment.
Experts say the recent moves should not be confused with undue acceleration; Required technical adjustments.
“This does not mean a V-shaped recovery, but rather a sharp decline followed by an equally rapid and aggressive rise, but rather a rebound of the average recovery on a higher time frame,” Van de Poppe elaborated. This means that the market is not in a euphoric phase, so prices are not facing an unstoppable “elastic rebound.”
On the contrary, analysts are talking about a slower process. prices are returning to average About the past few weeks.
Under this assumption, the price of BTC would be trying to “remagnetize back to the short-term and intermediate-term moving averages that act as balance points.” I don’t expect any backlash, but restoration of balance.
In that case, During the normalization processthe digital currency will return to a price range where the current market is comfortable trading.
