"There are many driving factors worthy of attention, indicating that Bitcoin will have an upward breakthrough." Geoff Kendrick, global head of digital asset research at Standard Chartered Bank, expressed optimism about Bitcoin's trend in an interview . He also mentioned that the overall economy remains optimistic about the future, and the data in the derivatives market are also bullish. Harris's statement may be the key to some traders' bets that Bitcoin will reach 100,000 by the end of the year.
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ToggleOptimistic conditions: Fed cuts interest rates, China stimulates economy
Geoff Kendrick said that after the Federal Reserve cuts interest rates, short-term Treasury borrowing costs for U.S. Treasury bonds are lower than long-term Treasury bonds, which is often an optimistic sign for future economic growth. "After the Fed cut interest rates, the steeper yield curve helped. That has continued this week, with the 2-year and 10-year Treasury bonds currently up about 21 basis points," he said.
The U.S. Federal Reserve chose to cut interest rates, while China launched its largest economic stimulus policy since the epidemic. These include monetary policies such as lowering the deposit reserve ratio, with the goal of releasing more liquidity into the market.
Derivatives traders bullish on Bitcoin end of year by 100,000
He also pointed out that data from the derivatives market are also optimistic about the future of Bitcoin. He pointed out that he has recently seen Bitcoin call options expiring on December 27, and these call options are highly concentrated at a price of $100,000.
He said that the increase in open interest in Bitcoin options has accelerated not only because of the approximately 6% rise in Bitcoin prices over the past week, but also because of He Jinli’s positive stance on cryptocurrencies in New York as a new factor affecting the market.
( He Jinli mentioned digital assets for the first time, Coinbase: The era of Biden and Warren is over )
A few days ago, Harris stated that she would be committed to supporting emerging technologies such as artificial intelligence and digital assets, and emphasized that while encouraging innovation, she would also protect consumers and investors. Since she has never raised relevant issues directly in the past, her first statement also had a positive impact on the market. Coinbase even stated that the era of Biden and regulatory Senator Warren is coming to an end.
“From a timing perspective, the most likely new factor is Vice President Harris’ comments on Sunday, September 22, that she would encourage digital asset businesses. These comments suggest that either outcome of the November 5 election will ultimately have a negative impact on Bitcoin has a positive impact," said Geoff Kendrick.
