Reasons for Bitcoin to take off in July.

More recently, Bitcoin has upset optimistic investors, falling below $ 6000. However, July began successfully for the first cryptocurrency: the BTC / USD pair is actively approaching $ 7000. Why is this happening? There are five reasons for this.

1. Tether returns

The dynamics of USDT has always influenced the rate of Bitcoin (Bitcoin), but recently, users have begun to withdraw money from this cryptocurrency, or it has spent on supporting altcoins and other promising cryptocurrency projects.

However, now the USDT is returning with double force, and, if previously its influence was estimated at 14 − 17%, it has recently exceeded 30%. Since most Bitcoin trading is still traded on Bittrex, Bitcoin support looks almost planned.

Tether trading is considered dangerous for BTC in the long run. Recently, the Kraken exchanger even had to fend off charges of secretly supporting the USDT peg to the dollar.

2. Altcoin Disappointment

Altcoins grew in April and May, but the incredible December take-off could not be repeated, and the decline of enthusiasm means the return of capital to Bitcoin. A new bull market may start with BTC - this is still the best-selling coin, with about 30% of all transactions being dealt with it. Ether (ETH / USD) is also weakening, there are no other assets capable of replacing BTC, so interest in the leading cryptocurrency is understandable.

3. Low trading volumes boost growth.

There are enough long-term Bitcoin investors on the market who are not ready to leave this ship even at the stage of decline. Low volumes mean that there are few who want to buy, but few and those who want to sell, and the desperate have already left the market.

In addition, in a situation of low volumes, anything can give a start to further growth — either a temporary surge or some long-term trend.

4. There haven't been any bad news for a long time.

Bitcoin has demonstrated more than once that it remains sensitive to bad news. Some believe that the current fall in prices indicates concerted market manipulation, but there have been enough problems in recent weeks - these include, among others, problems with law enforcement agencies at Kraken, ItBit, Coinbase and Bitstamp, as well as the difficulties of Japanese exchanges.

Nevertheless, the cryptocurrency market goes forward, this news is forgotten, and Bitcoin is again subject to optimistic moods.

5. The arrival of the bitcoin fund (ETF)

This is one of the important factors that can mean the inflow of institutional money into Bitcoin; there are enough bitcoins in the market, but not so much investor funds. The release of new USDT, as well as the creation of TrueUSD tokens (TUSD), is also, allegedly, supported by real investments, not enough.

For bitcoin, the inflow of institutional money into a completely legal asset like ETF would be a sign of legitimacy, since until now the participation of traditional financial companies in bitcoin was minimal.

ETF can create demand directly for bitcoins, unlike BTC futures, which are realized in the form of cash, and therefore do not directly affect the exchange rate.

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