A few days ago, due to the tense situation in the Middle East—after Israel launched air strikes on Iran—investors panicked and dumped Bitcoin, causing its price to plummet. However, as the situation eased slightly in the past two days, some investors saw an opportunity and rushed to buy, pushing the price back up to the current $106,097. Since the start of this year, Bitcoin's price has generally fluctuated at a high level. Despite significant volatility, it has remained at relatively high prices, demonstrating strong resilience in complex market environments.
Key Factors Influencing Prices
1. **Geopolitical Factors**: The Middle East situation has remained highly tense, with regional conflicts subject to sudden changes. Although tensions have temporarily eased in recent days, no one can predict when they might escalate again. If the situation deteriorates once more, risk aversion in financial markets will surge, potentially disrupting Bitcoin's price trend—many may sell again, causing prices to drop. Conversely, if the situation stabilizes and improves, investors will grow bolder, and funds may flow back into the Bitcoin market, driving prices higher.
2. **Macroeconomic Policies**: The Federal Reserve's monetary policy significantly impacts global financial markets, including Bitcoin. Currently, the market closely watches whether the Fed will cut or hike interest rates. If the Fed cuts rates due to poor economic data, increased liquidity in the market may flow into high-risk, high-return assets like Bitcoin, potentially boosting its price. However, if the Fed persists in hiking rates, rising borrowing costs will reduce the Bitcoin market's appeal to funds, possibly suppressing prices.
3. **Industry Regulatory Dynamics**: Hong Kong's *Stablecoin Ordinance* will come into effect on August 1, and the Hong Kong Monetary Authority (HKMA) will accelerate the processing of stablecoin license applications. This is of great significance for the entire cryptocurrency market— the compliant development of stablecoins will enhance market confidence. As a bridge between cryptocurrencies and traditional finance, the healthy development of stablecoins may attract more funds into the crypto space, indirectly supporting Bitcoin's price. However, if stricter cryptocurrency regulations are introduced elsewhere globally, market sentiment may be affected, dragging down Bitcoin's price accordingly.
4. **Market Supply and Demand**: In terms of supply, Bitcoin has a fixed total supply of 21 million coins, and as mining difficulty increases, the pace of new coin issuance is slowing, making it increasingly scarce. On the demand side, institutional investors—such as public companies and hedge funds—have continuously entered the market, allocating Bitcoin to their portfolios and bringing in substantial capital. Meanwhile, retail investors' understanding and acceptance of Bitcoin have grown, driving gradual demand expansion. Even minor changes in the supply-demand relationship can influence Bitcoin's price trend.
Today's BTC trading strategy, I hope it will be helpful to you
BTCUSDT BUY@103500~104500
SL:102000
TP:106000~107000
Key Factors Influencing Prices
1. **Geopolitical Factors**: The Middle East situation has remained highly tense, with regional conflicts subject to sudden changes. Although tensions have temporarily eased in recent days, no one can predict when they might escalate again. If the situation deteriorates once more, risk aversion in financial markets will surge, potentially disrupting Bitcoin's price trend—many may sell again, causing prices to drop. Conversely, if the situation stabilizes and improves, investors will grow bolder, and funds may flow back into the Bitcoin market, driving prices higher.
2. **Macroeconomic Policies**: The Federal Reserve's monetary policy significantly impacts global financial markets, including Bitcoin. Currently, the market closely watches whether the Fed will cut or hike interest rates. If the Fed cuts rates due to poor economic data, increased liquidity in the market may flow into high-risk, high-return assets like Bitcoin, potentially boosting its price. However, if the Fed persists in hiking rates, rising borrowing costs will reduce the Bitcoin market's appeal to funds, possibly suppressing prices.
3. **Industry Regulatory Dynamics**: Hong Kong's *Stablecoin Ordinance* will come into effect on August 1, and the Hong Kong Monetary Authority (HKMA) will accelerate the processing of stablecoin license applications. This is of great significance for the entire cryptocurrency market— the compliant development of stablecoins will enhance market confidence. As a bridge between cryptocurrencies and traditional finance, the healthy development of stablecoins may attract more funds into the crypto space, indirectly supporting Bitcoin's price. However, if stricter cryptocurrency regulations are introduced elsewhere globally, market sentiment may be affected, dragging down Bitcoin's price accordingly.
4. **Market Supply and Demand**: In terms of supply, Bitcoin has a fixed total supply of 21 million coins, and as mining difficulty increases, the pace of new coin issuance is slowing, making it increasingly scarce. On the demand side, institutional investors—such as public companies and hedge funds—have continuously entered the market, allocating Bitcoin to their portfolios and bringing in substantial capital. Meanwhile, retail investors' understanding and acceptance of Bitcoin have grown, driving gradual demand expansion. Even minor changes in the supply-demand relationship can influence Bitcoin's price trend.
Today's BTC trading strategy, I hope it will be helpful to you
BTCUSDT BUY@103500~104500
SL:102000
TP:106000~107000
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.