Lyn Alden, a well-known macroeconomics expert, is predicting a positive outlook for Bitcoin (BTC) in the coming months. However, she also cautions about potential risks.
A Positive Outlook, With Conditions
Alden recently stated that she expects Bitcoin to continue its upward trend for another year or two. She believes the fundamentals currently look strong. However, she emphasizes that this prediction hinges on avoiding a major market crash. A significant downturn, perhaps a 30% drop, could temporarily disrupt Bitcoin’s growth, requiring a subsequent recovery period.
Halving Cycles vs. Market Liquidity
Alden also downplayed the significance of Bitcoin’s halving cycles (the events where mining rewards are cut in half) in determining its price. While these cycles have historically correlated with price increases, Alden believes market liquidity is now a more significant factor influencing Bitcoin’s performance. She notes that the complexity of liquidity in the current market makes predicting its impact challenging.
Current Market Conditions
At the time of writing, Bitcoin is trading around $85,002, showing little change for the day.
Disclaimer: This information is for general knowledge and shouldn’t be considered investment advice. Always do your own research before investing in cryptocurrencies.