Here’s When Bitcoin’s (BTC) Price Could Return to $74K Highs: QCP Capital
QCP Capital has forecasted a bullish momentum that could see bitcoin reach its previous highs of $74,000 in the next few months.
This follows a surge in BTC’s price on May 15th, fueled by growing ETF inflows and the April Consumer Price Index (CPI), which indicated a slight decrease in inflation from the previous month.
Institutional Adoption and Bullish Momentum
According to insights provided by QCP Capital, the U.S. CPI figures caused a breakout across various risk assets, propelling BTC back above the $66,000 mark.
“We expect bullish momentum here that could take us back to the highs of $74,000,” remarked QCP Capital.
They observed increased buying activity, with investors acquiring 100-120k BTC Calls for December 2024. There has also been extensive institutional adoption of the primary cryptocurrency, with major asset managers such as Millenium and Schonfeld allocating approximately 3% and 2% of their assets under management (AUM) to spot Bitcoin ETFs.
Analysts at QCP Capital also highlighted favorable market conditions, including sovereign and institutional adoption, easing inflationary pressures, and the anticipation of upcoming U.S. elections, contributing to the potential bull market’s resurgence.
QCP Capital recommends traders adopt strategies such as the Bullish ERKO Seagulls. Designed to capitalize on upward price movements while mitigating downside risks, they offer investors an opportunity to participate in bitcoin’s potential bull run with minimal upfront costs.
For instance, the Bullish ERKO Seagull for June offers a cost-neutral approach with a maximum payout of $18,000 per BTC if the spot price hovers just under $88,000 at expiry. Similarly, the August Seagull presents a similar risk-reward profile, with a potential payout of $30,000 per BTC if the spot price approaches $100,000 by the expiry date.
Bitcoin Surges as Inflation Eases
According to a report released on May 15, the Consumer Price Index, which serves as a comprehensive measure of the cost of goods and services at the point of sale in the US, indicated a slight decrease in inflation compared to the previous month.
On Wednesday, bitcoin experienced a surge following the release of the April CPI, as its price soared by over 7% to reach $66,567.91, marking its best performance since March 25. Bitcoin has also surpassed its 50-day moving average for the first time since April 13.
This surge on Wednesday propelled BTC to a weekly gain of 7%, its most notable increase since the last week of March, reversing a month-and-a-half downward trend. According to data from CoinGecko, as of this writing, Bitcoin is trading at around $66,0007, representing a 6% increase in the last 24 hours.
The post Here’s When Bitcoin’s (BTC) Price Could Return to $74K Highs: QCP Capital appeared first on CryptoPotato.