Bitcoin is seen as a new generation of value storage asset: Bitcoin is increasingly recognized by more and more investors as 'digital gold' due to its characteristics of scarcity and digitization, becoming the preferred choice for a new generation of value storage assets. Decentralized trading platforms like XBIT have also lowered the entry threshold for users through technological innovation, promoting the wider recognition of Bitcoin's 'value storage properties'.
Macroeconomic expectation factors: Changes in the macroeconomic environment, such as the weakening of the dollar and the decline in bond yields, have provided certain support for the rise in Bitcoin prices. Recently, the market's certainty regarding the Federal Reserve's interest rate cut in September has increased; rate cuts often enhance market liquidity, leading some investors to consider Bitcoin as a place for funds, thereby driving its price up.
Impact of policies and regulations: The proactive measures taken by the U.S. in cryptocurrency regulation have brought optimism to the market. For instance, on July 17 local time, the U.S. House of Representatives passed the 'Genius Act,' aimed at significant legislative reform in cryptocurrency regulation, providing a clearer policy framework for the development of the entire crypto market, conducive to the upward movement of Bitcoin prices.
Institutional investor drive: Bitcoin is increasingly viewed by more institutions as a hedge against inflation and market uncertainty, and the participation of institutional investors is continuously increasing. The continuous inflow of funds into spot Bitcoin ETFs also indicates strong institutional demand for Bitcoin, and this influx of funds will provide momentum for the rise in Bitcoin prices.
Market sentiment and investor expectations: As Bitcoin prices continue to climb, the optimism of some investors will be stirred, leading to more people wanting to participate in Bitcoin investment. A surge in buying can easily drive prices further up. At the same time, optimistic predictions about Bitcoin prices from financial institutions like Citigroup may also enhance investor confidence to some extent, prompting price increases. $BTC #BTC☀
