Bitcoin may tap $116K in July amid ‘perfect storm’ of macro catalysts

Bitcoin could ascent to $116,000 by the extremity of this period arsenic 3 macroeconomic factors crook favorable for the asset, according to a crypto analyst.

“I deliberation $116,000 is possible,” 10x Research caput of probe Markus Thielen told Cointelegraph aft highlighting 3 macro factors that could assistance bolster Bitcoin’s (BTC) terms this period successful a study connected Thursday.

Bitcoin is investigating the apical of the range, and much upside is possible

“Bitcoin is investigating the apical of its consolidation range, conscionable arsenic a cleanable tempest of macro catalysts begins to build,” helium added, pointing to the beardown uptick successful spot Bitcoin exchange-traded money (ETF) inflows, US Federal Reserve uncertainty, and the accelerated diminution of Bitcoin proviso connected crypto exchanges.

A determination for Bitcoin to $116,000 represents a 6.45% leap from its existent terms of $108,990 and a 3.60% leap from its existent all-time precocious of $111,970, according to CoinMarketCap data.

Bitcoin is up 0.69% implicit the past 7 days. Source: CoinMarketCap

He pointed to beardown inflows into spot Bitcoin ETFs, which experienced their archetypal nett outflow time connected Wednesday after 15 consecutive days of inflows, arsenic a bullish indicator for Bitcoin.

“These flows are progressively outpacing terms action, signaling organization request driven much by macro concerns than short-term momentum.”

Thielen said that the governmental unit connected the US Federal Reserve from US President Donald Trump whitethorn person been the crushed for the surge successful inflows. In April, Trump criticized Fed Chair Jerome Powell, saying his termination “can’t travel accelerated enough.” 

“This rhetoric whitethorn person been a catalyst for the 3rd question of Bitcoin ETF accumulation,” Thielen said.

Since May 1, US-based spot Bitcoin ETFs person recorded $9.91 cardinal successful inflows, astir 20% of their full inflows since launching successful January 2024, according to Farside data.

A caller Fed seat whitethorn beryllium “more inclined toward complaint cuts”

Thielen speculated that Trump mightiness propulsion for a caller Fed seat who could advocator for a looser monetary policy, perchance benefiting Bitcoin.

“It whitethorn lone beryllium a substance of clip earlier Trump nominates a caller Fed seat much inclined toward complaint cuts, evoking comparisons to Arthur Burns, whose capitulation to governmental unit helped substance the ostentation of the 1970s.”

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Thielen besides pointed retired that Bitcoin balances connected crypto exchanges “are shrinking.”

“Exchange balances person present declined for 98 consecutive days, marking the longest drawdown since 2020, which preceded the past large bull marketplace breakout,” Thielen said.

“Historically, specified sustained outflows awesome rising scarcity and mounting upside pressure. If this signifier continues, Bitcoin could beryllium mounting the signifier for different breakout,” helium added.

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