Bitcoin has been struggling to surpass the $27,500 resistance level for the past week, partly due to the risk of a potential U.S. default as the government struggles to get the debt limit increase approved in Congress. However, some analysts and investors believe that the debt ceiling standoff is just a "show" and that additional money will eventually enter the markets, leading to inflationary pressure. As a result, some investors suggest owning hard assets like Bitcoin. Despite recent positive macroeconomic data, a U.S. debt default could still negatively impact the global economy, as many countries hold significant amounts of U.S. Treasuries. Professional traders in the Bitcoin market seem to be favoring bullish positions, with no signs of excessive leverage from buyers. If the U.S. debt ceiling stand-off continues, Bitcoin's market structure is bullish and could rally towards $28,000. However, readers should conduct their own research and be aware of the risks involved in any investment or trading move.
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