In their latest weekly report, researchers note that the technical factors supporting the decline of Bitcoin are starting to weaken. One of the main factors putting pressure on BTC was the sale of shares in the GBTC fund by asset managers of the FTX exchange, which faced financial difficulties. A total of 22 million shares were sold, but the reserves were depleted.
On the other hand, the rise of Bitcoin is supported by steady interest in spot ETFs on Bitcoin, which have been launched. Over the past week, daily inflows into the shares of such funds amounted to around $200 million. Starting from January 11th, the total inflow of funds reached $1.46 billion.
Another factor that could contribute to the rise of Bitcoin is the possible easing of monetary policy in the United States. According to expectations, the Federal Reserve of the United States (FRS) may begin lowering the benchmark interest rate as early as May.
According to analysts at Coinbase, the reduction in selling pressure on Bitcoin and changes in monetary policy could serve as the "foundation for significant growth in Bitcoin and other cryptocurrencies in the second quarter of 2024."
