Bitcoin Bull Run Relies on Trump’s Fed Chair Nominee, Says Analyst
Bitcoin's potential for a significant price increase may hinge on the upcoming nomination of a new Federal Reserve chair by President Trump, according to economist Alex Krüger. He suggests that the market is not currently factoring in a shift towards more dovish monetary policy, which could be initiated with this nomination.
Key Points
- Krüger believes the current market cycle will depend more on Fed leadership than on historical halving cycles.
- He dismisses fears about reaching a market peak, noting corrections often prompt premature concerns about cycle tops.
- The candidates for the Fed chair position include Kevin Warsh and Kevin Hassett, with an announcement expected soon.
- Upcoming economic indicators, including Powell’s speech at Jackson Hole, are crucial for market direction.
- Bitcoin has faced resistance around $122,000–$124,000, with recent trading between defined levels and lower volatility.
- Market reactions to the Fed chair nomination could either extend the current bullish cycle or signal a tightening liquidity environment.
As of now, Bitcoin is trading at $115,683.
