While the rally seen in the last two weeks in Bitcoin led to the breaking of the critical level of 45 thousand dollars, it also allowed all the losses of 2022 to be erased for the crypto money.
Bitcoin tested $47,583 as a result of the rapid rally. Thus, it has exceeded the 35-45 thousand band seen since the beginning of January.
Bitcoin’s year-to-date yield exceeded 1 percent after new premiums. In the same period, the S&P 500 index in the USA lost 4.7 percent.
Miller Tabak + Co. Chief strategist Matt Maley pointed out that if Bitcoin stays at these levels, it could gain more upside momentum.
Attentions in US regulation
US President Joe Biden’s directive to government agencies to focus more on cryptocurrencies by some investors While it was perceived as a good sign for Bitcoin, there were also strategists who thought that this would create downward pressure on Bitcoin.
Strategist David Woo stated that this reaction was the result of misjudgment, while saying that the US Treasury Department thinks Bitcoin tends to be excluded. While Woo said that the administration is preparing the ground for a US digital currency, he emphasized that this move is a negative step for Bitcoin as much as possible.
“When every central bank issues its own digital currency, ‘What do we need Bitcoin for, why do we need a competitor?’ The former Bank of America Research Director said, “All the positive arguments you can make for Bitcoin right now will soon disappear.”