Bitcoin can expect a perfect storm in the coming months. Davy Stevens, founder of BLOX, shares on LinkedIn a scenario in which three events could contribute to a significantly higher Bitcoin price.
Perfect storm in the economy
The term ‘perfect storm’ describes a situation in which several negative factors come together to create a serious crisis.
In an economic context, the term ‘perfect storm’ can be used to describe a situation in which several factors come together to cause an economic crisis. These factors can include a recession, high unemployment, inflation, and a stock market crash.
An example of such a situation is the 2008 financial crisis, which was caused by a combination of factors including a subprime mortgage crisis, a credit crisis and a stock market crash.
Perfect storm for Bitcoin
It’s even more ironic that this perfect storm led to the birth of Bitcoin. The term ‘perfect storm’ is used jokingly in Bitcoin to portray a positive scenario. Because what is bad for the traditional economy should be good for Bitcoin.
Davy Stevens shares on LinkedIn three events that can independently create a perfect storm. Stevens also lists the expected dates and the likelihood of this happening:
1. Bitcoin Spot ETF Approval – January 10, 2024 – 90%+
2. Bitcoin Block Halving – April/May 2024 – ~99.9%+
3. Fed rate cut – July 2024 – 60%+
Stevens: “Any of these events could be enough to usher in a new bull market in crypto.” But I don’t think anyone understands what could happen if two or even three of these events happened within a seven-month period.”
Bitcoin expert Michiel Brunet de Rochebrune also recognizes these three factors. This is what he says on LinkedIn:
“Bitcoin Block Halving is basically a certainty.” “The chance that a spot Bitcoin ETF will be approved in the near future is over 90% according to analysts and after yesterday we also see a slightly higher probability that upcoming interest rate cuts will reverse this.”
By “yesterday” analyst Brunet de Rochebrune refers to the news that the FED may stop raising interest rates.
Source: BtcDirect
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Barry Siefert is an accomplished journalist and author at The Nation View. He is known for his expertise in the field of cryptocurrency, and has written extensively on the topic. With a background in finance and economics, Barry has a deep understanding of the underlying technology and market forces that drive the crypto industry.
