• The U.S. debt ceiling crisis, high interest rates and troubled regional banks create risks for the commercial real estate market.
• Bitcoin investors are expecting a price reversal due to the increasing risk perception of the cryptocurrency sector and positive news on the regulatory front.
• Addresses holding 1 BTC or more have reached one million, with 190,000 “whole-coiners” added since February 2022.
U.S Debt Ceiling Crisis
The United States government debt ceiling crisis is causing an increased risk of default which should, in theory, be beneficial for scarce assets such as Bitcoin (BTC). According to U.S Treasury Secretary Janet Yellen, this could cause an “economic and financial catastrophe”.
Commercial Real Estate Market at Risk
The $5.6 trillion commercial real estate market in the U.S is subject to additional risks due to high interest rates and troubled regional banks according to Guggenheim Partners Chief Investment Officer Anne Walsh who stated that “We’re likely going into a real estate recession, but not across the entire real estate market.”
Cryptocurrency Regulatory Support
On May 9th, the U.S Chamber of Commerce filed an amicus brief defending Coinbase exchange and accusing SEC of deliberately creating a precarious and uncertain landscape which increases optimism in cryptocurrency investors despite recent price weaknesss .
Bitcoin Halving Expected April–May 2024
When the miners’ incentive per block will be reduced from 6.25 BTC to 3.125 BTC when Bitcoin halving expected for April–May 2024 occurs . This event is also fueling investors hope as there is potential triggers to sustain a considerable bull run in upcoming months .
One Million Addresses Holding 1 BTC or More
Addresses holding 1 BTC or more have reached one million according to Glassnode analytics firm with 190,000 “whole-coiners” added since February 2022 . This allows early bird traders to prepare for BTC’s next breakout by using this options strategy that Crypto traders can use when expecting a price reversal .