Bitcoin Faces Challenges Amid Liquidity Concerns and Slow Progress on Strategic Reserve
05.02.2025 17:30 1 min. read Kosta Gushterov SHARE: 0 SHARES Bitcoin has seen remarkable growth since the beginning of 2023, even reaching over $108,000 at its peak. However, its price has recently experienced a slowdown, with Bitcoin now hovering between $90,000 and $100,000. This marks the third period of consolidation during its broader bull market, which began when the price was around $20,000. Many expect this phase to end with a surge similar to those seen in mid-2024 and 2023, but analysts are highlighting factors that could indicate a weakening of Bitcoin’s bullish momentum. One major concern is the tightening liquidity of the U.S. dollar. Blockchain expert Andy Lian explained that shrinking USD liquidity could pose challenges for all asset classes, particularly for riskier investments like Bitcoin and other cryptocurrencies. As liquidity dries up or becomes more regulated, it could dampen economic activity, increase borrowing costs, and create a tougher environment for risk assets, including Bitcoin. Another issue is the slow progress in establishing a strategic Bitcoin reserve, which many investors anticipated would be quickly implemented under the Trump administration. Despite early promises, the creation of such a reserve has faced delays. Jim Bianco of Bianco Research advised investors to be patient, suggesting that Washington’s slow pace in advancing the Bitcoin reserve initiative is typical of government action when facing opposition. SHARE: 0 SHARES More Bitcoin News Bitcoin Will Hit $500,000 by 2028 – Standard Chartered Standard Chartered’s Geoffrey Kendrick envisions a dramatic rise for Bitcoin, forecasting a price of $500,000 by 2028. 06.02.2025 8:00 1 min. read Alexander Zdravkov JPMorgan’s Latest Bitcoin Analysis Reveals Surprising Insights for 2025 Bitcoin experienced significant fluctuations in January, setting a new record by surpassing $108,000 but later dipping to around $89,000, a level last seen in November 2024. 05.02.2025 21:00 1 min. read Kosta Gushterov Market Volatility Raises Doubts on Cryptocurrencies as Safe Haven Aoifinn Devitt, a senior investment advisor at Moneta, has raised concerns about the widely-held belief that cryptocurrencies, including Bitcoin and Ethereum, can act as a safe haven during times of economic instability. 05.02.2025 20:00 2 min. read Alexander Stefanov BlackRock Expected to Launch Bitcoin Spot ETP in Europe BlackRock is preparing to introduce a Bitcoin Spot Exchange-Traded Fund (ETF) in Europe, marking a significant expansion of its cryptocurrency offerings beyond the United States. 05.02.2025 19:04 1 min. read Alexander Stefanov QR for the Bitcoin/Ethereum Address: QR for the Bitcoin/Ethereum Address: