Bitcoin price continues to gain traction, holding above the $100,000 mark. The drop in volatility and the positive impact of a recent US-China trade deal are contributing to this.
Rise of Bitcoin Price and Impact of Trade Deal
Bitcoin price stabilized above $100,000 after the CBOE Volatility Index dropped to its 30-year average of 20. This decline followed a US-China trade deal on May 12, which led to a 90-day tariff pause and a 115% reduction on both sides.
Sentiment Indices and Their Market Impact
The Bitcoin Bull Score Index reached 80, reflecting rising optimism in the market. Additionally, the Fear & Greed Index shows a level of 53.3%, which is still below the 'overbought' zone above 80%.
Prospects for Further Bitcoin Growth
Analysts indicate that Bitcoin could reach $135,000 within 100 days. The low volatility level predicts increased investor confidence in riskier assets, such as Bitcoin.
With the introduction of a trade agreement and improved macroeconomic conditions, Bitcoin has strong support for further growth. However, risks still remain.
