3 reasons why Bitcoin failed to break above $72K
Regulatory uncertainty and volatile macroeconomic events may weaken further upside in the BTC price in the near term.
Bitcoin (BTC) registered a 5.9% gain between June 2 and 5, but its rally was halted at $71,746. This movement was supported by a nearly $1 billion worth of inflows into U.S.-listed Bitcoin spot exchange-traded funds, indicating strong demand from institutional investors.
Bitcoin’s bullish momentum was also fueled by the significant growth of the U.S. banking sector’s unrealized losses. However, despite favorable conditions, including a more crypto-friendly stance from U.S. lawmakers, Bitcoin was unable to break above $72,000.
According to Matt Hougan, Bitwise’s chief investment officer, regulatory uncertainty has hindered financial advisers from increasing their crypto exposure. Nevertheless, Hougan believes the U.S. is moving toward regulatory clarity, a shift that began when Democrats voted to repeal the U.S. Securities and Exchange Commission’s (SEC) Staff Accounting Bulletin 121.
Regulatory uncertainty and volatile macroeconomic events may weaken further upside in the BTC price in the near term.
Bitcoin (BTC) registered a 5.9% gain between June 2 and 5, but its rally was halted at $71,746. This movement was supported by a nearly $1 billion worth of inflows into U.S.-listed Bitcoin spot exchange-traded funds, indicating strong demand from institutional investors.Bitcoin’s bullish momentum was also fueled by the significant growth of the U.S. banking sector’s unrealized losses. However, despite favorable conditions, including a more crypto-friendly stance from U.S. lawmakers, Bitcoin was unable to break above $72,000.According to Matt Hougan, Bitwise’s chief investment officer, regulatory uncertainty has hindered financial advisers from increasing their crypto exposure. Nevertheless, Hougan believes the U.S. is moving toward regulatory clarity, a shift that began when Democrats voted to repeal the U.S. Securities and Exchange Commission’s (SEC) Staff Accounting Bulletin 121.Read more