The situation on the market has improved, but it doesn’t smell like optimism. Bitcoin is still waiting to fall. Analyst Marcus Thielen of 10x Research believes that a price drop to $60 thousand is ahead. He believes that problems in the global economy will continue to put pressure on BTC. One of the main problems now is tariff war between the US and China.
Economy China is experiencing a drop in real estate priceslow corporate profits and high youth unemployment. As a result, China will have to weaken the yuan to support its own economy. If this happens, global inflation may increase, leading to higher interest rates.
Higher interest rates often affect money borrowing, and as a result, this leads to a decrease in investment. This includes bitcoin.
According to Thielen, currency weakening has sometimes contributed to bitcoin’s growth. However, this time, Chinese investors have less income and are less interested in cryptocurrencies than before.
According to the expert, if BTC falls below $60 thousand, the market will start a panic sale of assets.
Source: TheStreet
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