cryptojournalist
US Bitcoin Reserve Could Shake the Market
A new proposal by Senator Cynthia Lummis suggests the US government should acquire 1 million Bitcoin (5% of its total supply) and hold it for 20 years. If approved, this “Bitcoin Strategic Reserve” could bring significant price swings, according to Ben Simpson, CEO of Collective Shift.
Simpson predicts, “Bitcoin will pump initially but then likely rotate back,” indicating a short-term surge followed by a potential correction.
Bitcoin Dominance Declines Amid Altcoin Rally
Bitcoin dominance—a measure of BTC’s share of the crypto market—has dropped to 56.63%, down 7.2% over the past month, according to TradingView. Analysts see this as a sign of altcoins gaining traction, with traders like Momin predicting a strong altcoin rally soon.
However, Simpson warns that the shift to an “altcoin season” might not be smooth, stating, “It will be volatile and not a straight transition.”
Bitcoin’s Institutional Appeal Remains Strong
Despite these fluctuations, Bitcoin remains a cornerstone for institutional investors. Analysts at Bitfinex argue that Bitcoin continues to outperform many altcoins, maintaining its reputation as a reliable long-term investment.
They added that even with dips, Bitcoin’s price trend shows strong market demand. “At $100,000, spot buying remains robust, and leverage is reasonable, making dips a potential buying opportunity,” they explained.
Bitcoin as the New Gold
Many Bitcoin advocates view it as a superior alternative to gold and a reliable store of value. Bitfinex analysts echoed this sentiment, highlighting the growing confidence in Bitcoin as a key asset for both individual and institutional portfolios.
VanEck Reaffirms $180K Price Target
Global investment manager VanEck recently reiterated its $180,000 price target for Bitcoin during this market cycle, suggesting the bull run is still in its early stages.
