Why has Bitcoin suddenly jumped above $30,000? - 06/21/23

[fat buddah]

It all looks like a big fake-out. I don't see strong reasons for the market to grow right now. Inflation is still pretty high, interest rates are high as well and they will be rased at least 2 more times.

So I would wait for more clear signals to buy cos right now I think bitcoin might drop once again.

I wouldn't mind that actually. You can't have enough Bitcoin, but I'd like to buy at least some more at a lower price.

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[Davidvictorson]

Did China do something that made the Chinese people start buying? Or what?

What a time to be alive. We are seeing big institutions rushing to get involved in bitcoin basically because of the fear of missing out(FOMO). These asset management companies like Blackrock whose job is to make money for their investors. Also the news about a crypto exchange being supported by big financial institutions - Backed by Fidelity, Schwab and Citadel. It is a positive news for the market. It is obvious that these financial institutions with deep pockets are now bullish with bitcoin. Therefore there is positive sentiment which comes as no surprise to see bitcoin increase by 20% in the last 7 days. Another positive sentiment is the news of WisdomTree, Invesco, Valkyrie applying for a Bitcoin ETF. We are waiting to see more bigger institution join in. FOMO is real for them.
https://www.coindesk.com/business/2023/06/20/new-crypto-exchange-backed-by-fidelity-schwab-and-citadel-launches/

https://decrypt.co/145566/wisdomtree-invesco-follow-blackrock-with-spot-bitcoin-etf-applications

https://cointelegraph.com/news/valkyrie-submits-btc-spot-etf-application-to-go-with-its-futures-miners-etfs#:~:text=Valkyrie%20filed%20an%20S%2D1,Bitcoin%20(BTC)%20futures%20ETFs.

[Crypt0Gore]

What do you expect? The following big companies are gearing up for the possible ETF approval and this time it looks possible

Invesco
Wisdom Tree
Black Rock
Fidelity

The bullish news is that many more bigger companies can still join the list soon, the crypto market needs this generally, if Bitcoin is ever going to reach a new all time high in near future, new loads of money needs to swing into the market, and maybe this is it.

[Ayers]

It all looks like a big fake-out. I don't see strong reasons for the market to grow right now. Inflation is still pretty high, interest rates are high as well and they will be rased at least 2 more times.

So I would wait for more clear signals to buy cos right now I think bitcoin might drop once again.

Do you come to this market to prove yourself right or to make money? This is a financial market and almost impossible to predict. Whatever the reason for this bull run, it might just be a trap, as you say, but that won't be as important as making a profit. I recommend taking a broader and broader view instead of just focusing on the news everyone knows and making short-sighted judgments about the market. We all know the economy is in crisis, and the Fed will still raise rates, but it shouldn't be a barrier to keeping you from buying now to make a profit. Furthermore, no one can know exactly what will happen in the future, so don't wait uncertainly.

[ImThour]

I made a thread earlier when Bitcoin price was at $27k, as Bitcoin took support at a great Fibonacci level, it is going for $40k in the coming weeks. No one can stop now Bitcoin from breaking these basic resistances. Also, the big institutions are done loading up Bitcoins, so now they are making a push in the market to raise the prices and general public will follow them like always. Good Luck!

[cryptomaniac_xxx]

It all looks like a big fake-out. I don't see strong reasons for the market to grow right now. Inflation is still pretty high, interest rates are high as well and they will be rased at least 2 more times.

Everything could be fake out though, January? we have a huge increased 40%? could be fake though or there could be no reasons to grow. But wait since then we have a lot of positive movements and maybe at the end of the month we could be in green again.

So I would wait for more clear signals to buy cos right now I think bitcoin might drop once again.

Might be too late though mate. I do hope that you really know when you should buy. We all know that how time flies. In the next 6 months if is the end of the year and then we are going to enter the block halving. What if the prices didn't drop before the end of the year? Are you going to FOMO when the price hits $50k?

[fuguebtc]

I made a thread earlier when Bitcoin price was at $27k, as Bitcoin took support at a great Fibonacci level, it is going for $40k in the coming weeks. No one can stop now Bitcoin from breaking these basic resistances. Also, the big institutions are done loading up Bitcoins, so now they are making a push in the market to raise the prices and general public will follow them like always. Good Luck!

Does that mean you are making predictions using technical analysis? I don't believe what the chart shows us because not only do we see it, but everyone can see it, even the market makers know it. Do you know what percentage of bitcoin will hit $40k in the coming weeks, as that's a pretty high target given the not so good economic conditions? My prediction is that bitcoin will keep going up in the coming days, and my target will sell some at 32k because I bought a bit when it was below 27k. $40k is really too high a target for me.

[Patrol69]

It's really surprising that the value of Bitcoin has suddenly increased so much in just a short span of time. The market took a few hours to go from $26000 to $30000, the market has changed so much in just a few hours. Maybe there is some positive news about the market due to which a large number of people are buying Bitcoin which could be one of the reasons behind the sudden increase in the price of Bitcoin. It's great that the price of Bitcoin has increased, but I'm still skeptical about whether the market will bounce back from this situation or return to the previous level.

[DaveF]

Outside of the exchange and ETFs the fed and other central banks have paused interest rate hikes so people are looking for other places to put investment money in.
A few million people putting in couple of hundred or even a thousand or two across the world can move the price this much.

What a lot of people do not take into account and no matter how many times you try to drill it into their heads, one of the main differences between BTC and other investments like stocks and bonds is that anyone anywhere can invest in it relatively painlessly. As a US citizen trying to invest in RACE (Ferrari N.V. stock) my tax burden is crazy. Someone I know online who is from Spain, could not invest in a US company he WORKED FOR without a tremendous tax burden. But, crypto is getting easier so it gets a bump.

And, with what looks like more regulations coming in from the US govt and various state governments and parts of the EU people feel safer. We might not like more KYC / regulations / rules but a lot of investors do.

-Dave

[Z-tight]

but I'm still skeptical about whether the market will bounce back from this situation or return to the previous level.

This is surely not going to start a bull run, what is most likely to happen is that the price will stay ~ 30k for a short time before falling down to the range of ~ 25k-27k. This type of small price jump will concern only short term and day-traders, not the long term holders, for those who are looking for an entry point, they can wait and see if the price falls a little bit before they buy, or they can just buy now because we don't know for sure what the next price movement will be.

[Die_empty]

Did China do something that made the Chinese people start buying? Or what?

Hong Kong which is seen as a vassal state of Mainland China has been making groundbreaking laws that will make the country a crypto hub in a few years. Recently the Hong Kong Monetary Authority mandated banks to support crypto businesses and startups. Analysts are suspecting that China is gradually opening its financial borders to cryptocurrencies. Maybe they have observed that banning crypto transactions is not in their best interest. This might have also contributed to the increase in the price of Bitcoin and others.

But the major reason for this sudden price hike is spot Bitcoin ETF applications by major investment firms in the US which include Wisdom Tree, Invesco, and BlackRock. These firms are major investment companies with Wisdom Tree having about $93 billion in assets under management and Invesco having about  $1.49 trillion in its management portfolio. Another reason might be the support of EDX Markets, a new exchange by these notable large financial institutions which include Citadel Securities, Fidelity Investments, and Charles Schwab. This huge move is giving the crypto market the right attention and needed boast. And the recent decision of the US central bank to hold interest rates steady has given citizens the privileged of additional funds to invest. Since March last year, the US government have increased interest rate ten times.

If Federal Reserve reduces the interest rate or keeps it steady, SEC approves the spot Bitcoin ETF and Hong Kong keeps expanding its friendly policies bitcoin price will keep going high. SEC should swallow its pride and approve these applications because approving them will contribute positively to the crypto business of the US.

[ElmedoRator]

As everyone mentioned before, this time we have good news coming in and bringing back the green color, to be honest, the mood of many people has changed significantly in the past time. Since then, from the controversy between the SEC and the big names in the crypto space, we are now hearing rumors about EDX, or BlackRock.
I can put some faith in the beginning of another exaggerated period regarding the many news surrounding this market in the near future.

[franky1]

It looks like this has something to do with the fact that more companies (big names) are applying for Bitcoin ETFs (Invesco, and Wisdom Tree)[1]. And there is also the EDX market news (new exchange backed by wall street) which we've seen yesterday[2]

[1] https://decrypt.co/145566/wisdomtree-invesco-follow-blackrock-with-spot-bitcoin-etf-applications
[2] https://cointelegraph.com/news/wall-street-giants-back-edx-markets-cryptocurrency-exchange

adding to this. also the hashrate is at a new high of 390exa+ meaning the cost of mining is higher than say december 2022 meaning the economic bottom line cheapest efficient acquisition of bitcoin has gone up meaning the speculative market ontop of this gets more support for higher speculation to occur

[Bobrox]

Bitcoin raised to $30,000 quickly without one day needed, I don't heard any good news why Bitcoin can pump suddenly and success raise changed up more than 10% from lower price under $26K until success raise to $30,000 above. But bitcoin up suddenly make the market dominance and altcoin looks slowly for growing up, its drastically difference last few days when bitcoin drop drastically altcoin follow what happen with bitcoin and drop drastically.

Last time when bitcoin dropping have bad news and issues with SEC Commission, seems investor keep believing with crypto and not care what did by SEC then success make bitcoin back again above $30,000.

[Woodie]

Was watching some Bloomberg news the other day, and they too were attributing the current price rise to Edx,  but what I don't understand is why chase away Binance and comeback as wolf dressed in sheeps skin
At this point not sure what to expect but I "think" these new players joining the crypto space have found the opportunity thanks to the void being left by Binance and business continues...

And from the price raise its also safe to say regulation or centralization will not be leaving us anytime soon!, buckle
Up people !

[DooMAD]

What do you expect? The following big companies are gearing up for the possible ETF approval and this time it looks possible

Invesco
Wisdom Tree
Black Rock
Fidelity

The bullish news is that many more bigger companies can still join the list soon, the crypto market needs this generally, if Bitcoin is ever going to reach a new all time high in near future, new loads of money needs to swing into the market, and maybe this is it.

If that's the only reason, then it'll presumably be shortlived when the SEC say "no" again, just like they have done for every previous filing so far.    

I'd like to think the picture is a little more nuanced than that, though.  There must be dozens of other contributing factors.  People seem to want easily-digestible soundbites to explain market movements, rather than trying to gain any in-depth understanding as to what's really happening.

[minairia3]

Did China do something that made the Chinese people start buying? Or what?

Simply put, it's the movement of the market and that's also the interesting thing about bitcoin that no other asset class has. Bitcoin always surprises us, and it is our duty to have a plan to enjoy it. Instead of looking for why it went up and why it fell, we should be prepared for both scenarios because bitcoin is unpredictable. I'm just enjoying the bitcoins above $30k before another correction, I will be happy if I can buy back the bitcoins under $26k.

[Sayeds56]

Simply put, it's the movement of the market and that's also the interesting thing about bitcoin that no other asset class has. Bitcoin always surprises us, and it is our duty to have a plan to enjoy it. Instead of looking for why it went up and why it fell, we should be prepared for both scenarios because bitcoin is unpredictable. I'm just enjoying the bitcoins above $30k before another correction, I will be happy if I can buy back the bitcoins under $26k.

Indeed, Bitcoin continually surprised market with unanticipated moves, yet there is always a rationale behind its volatility. The recent strong surge was triggered by sudden increase in interest from mega financial institutions of United Staes in spot ETF. This heightened interest is likely to result in approval of ETFs, as they are highly influential with substantial financial resources. I think the Chinese factor didn't have significant impact on current upswing in crypto market.

[kryptqnick]

I don't think it has anything to do with China, although Hong Kong encouraging banks to accept crypto clients is pretty recent news. From what I see, it seems that the ETF applications are more likely to be the reason behind the recent rise. Unfortunately, though, it might also mean that the increase is very temporary because it's a short event, unlike adoption of Bitcoin by some country or in some region.
But also, it's not such a huge increase that would require an obvious trigger. It can simply be a natural leap forward after some time of stagnation.

[SmartGold01]

Let's see if the plan for the US crypto exchange is really true or not!

Do you think anyone that involved them selves with the said exchange won't undergo paying tax or for storing their assets in the exchange?  There are people who are good in holding their coin in exchange for easy trade and conversion if there is any strong dip they could easily sell and wait for the next possible opportunity to buy when it's dip. Since we know the US don't do something without something being attached to it in form of pay back.