The “Tax Day” and the consequences of the Fed’s policies could be the affecting factors for the boost of the price of Bitcoin, in the near future – as forecasted by Pantera Capital, an assist capital company in the US.
Irrespective of the recent changes that are experienced in the cryptocurrency market, the Pantera Capital company envisioned a surge in the price of Bitcoin, commencing the following weeks. As per the investment firm, ‘Tax Day’ could be one of the propellers. Adding to this, the industry of cryptocurrency can also separate from the traditional financial markets and initiate its own independent trading, added by the company.
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The Light In The Tunnel By The Pantera Company
The graph for Bitcoin for the last several months has been quite bearish. While most proponents expected to experience it trading at $100,000 towards the end of 2021, the coin ended the year lower than $50K and then started the new year with more drops in its graph.
On February 24th, Bitcoin further faced a negative trading day with the conflict of the military between Ukraine and Russia that led to a significant slump in the price of the asset. As for the present, although BTC has now recovered most of its losses it does stand shy at $39,000.
In a report by Pantera Capital, it dubbed “The Next Mega-Trade” to which they outlined the
reasons why Bitcoin is a coin that has the capability to push up and boost its space in the market, making its bull run soon. Out of the many, one of them is the approaching “Tax Day,” which falls on April 18, this year.
Adding to their comments, they also reminded us that Bitcoin as a coin in the market space held its position across 2013, 2017, 2020, and 2021, marking its big run-ups with its price soaring significantly 35 days prior to the event. Nevertheless, unfortunately, each time the asset had lost some ground in and around that day due to the investors selling their holdings to cover taxes.
However, this did make some sense as a lot of crypto traders are now new to investing, while they also invest and learn about the market simultaneously. So much so that you can imagine a person purchasing many Bitcoins as they are “all-in” on crypto. A crypto calculator, in such a situation, may come in particularly handy to help you keep track even in volatile market situations.
Crypto’s Open Ground To Gaining Independence Through Financial Markets
The Pantera Capital also pointed at the policies of the Fed during the pandemic (COVID-19) where the mass printing was called the fiat currencies, manipulation of the Treasuries, and the binds of mortgages a “clearly wrong” mix.
Not only this, but it also further blamed the American central bank for the economic turmoil and rising inflation inside the border of the US. The Pantera Capital states that there are bubbles that would burst following the Fed which would have to raise the interest rates even higher.
As per the CEO, Dan Morehead this is good news for all digital asset universe – “I hold a very strong conviction about the markets that they are really getting it wrong and the rise reflecting in the interest rates, which is rather pretty obvious to happen and will keep continuing, which isn’t really bad for crypto. On the flip side, relative to the asset classes, it is really great for the prices of blockchain.”
Subsequently, the Pantera Capital company also believes that the industry of the cryptocurrency will emerge to new financial reaches on its own, this means that the fluctuations in this traditional monetary markets will not, in any way, be a concern anymore,
“This is why we think that over the next few weeks, crypto will decouple from the traditional markets and boost their trades on its own, again.”
To Conclude:
Closing in on a lighter tone, the Pantera Capital company holds a keen interest and believes in the fluctuations in the crypto market, especially with Bitcoin to not affect the market in the longer run, in fact, find ways to boost their market on their own in the upcoming weeks!
FAQs:
1. How does Bitcoin help you make money?
Bitcoin is a ranging coin amongst the others in the crypto market. Bitcoins are a part of the process of Bitcoin mining where they offer lucrative rewards to those who choose to invest in Bitcoin by operating through the computer system to help validate the transactions.
2. Can crypto coins make you rich if invested in them?
The affordable cryptocurrencies with strong future potential can help yield great profits for the investors. There are many top cryptocurrencies that are attracting many investors, especially those who are looking to diversify their portfolios with many large techs and companies accepting crypto as payments.
3. What is the minimum amount for an investor to invest in Bitcoin?
The minimum amount for an investor to invest in Bitcoin is $10. All you need to do is invest by entering the amount you would like to invest, double-check the information and click on ‘Open Trade’.
Read also: Ways to Make Money with Bitcoin