A financial expert, Jamie Coutts, thinks Bitcoin could hit six figures this year. He says Bitcoin is likely to see smaller gains this time around compared to the massive rallies in 2017 and 2020.
Bitcoin’s Potential Growth
Coutts predicts Bitcoin could rise by 200% this year. He believes this will happen if the US dollar weakens significantly. The US Dollar Index (DXY) measures the dollar’s strength against other major currencies. If the DXY falls, it means the dollar is getting weaker. Coutts says the DXY needs to fall below 101 for Bitcoin to reach his target.
Global Liquidity and Bitcoin’s Rise
Coutts also points to a global liquidity model that predicted a 75% rise in Bitcoin last November. This model is showing bullish signals again. He believes central banks are injecting more money into the global economy, which could drive Bitcoin prices higher.
Central Banks’ Role
Coutts highlights the Bank of Japan (BoJ) and the People’s Bank of China (PBoC) as key players in this recent increase in global liquidity. He believes their actions are coordinated with the US Federal Reserve.
Important Note: This is just one analyst’s opinion. Always do your own research before making any investment decisions.
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