Bitcoin (BTC): An optimistic prediction from a leading economist

Bitcoin has experienced explosive price phases in recent weeks. According to several analysts, the asset’s price should continue to rise despite the market’s circumstances. Economist Alex Krüger is among those who believe in this prospect.

Alex Krüger expects bitcoin’s price to break new ground

Along with many crypto market analysts, economist Alex Krüger believes that bitcoin could reach new heights. Currently valued at $31,000, the asset could be worth $37,000 in the near future.

The essence of this projection is based on recent developments in the crypto market in connection with BlackRock’s Bitcoin ETF application. A procedure whose outcome is not certain, but whose effects on the crypto market would be positive.

Alex Krüger is confident that BlackRock’s move will be approved by the SEC. Even if many believe that this eventuality is unlikely to materialize. This pessimism is in line with the regulator’s traditional stance on such procedures.

“We have very strong news [of the] BlackRock Bitcoin ETF, likely being approved. It’s debatable if it’s going to get approved or not – the probability is debatable – the point is right now we have just heard 20% of this news, and the probability is about 50% if not around 75%. So the point is, on the one hand, the market is not positioned right for this. The other point is that the news is huge and not properly priced in yet”, said the expert.

According to Krüger, this outlook for bitcoin should also benefit cryptos as a whole. Although, Krüger explains, there is currently little correlation between bitcoin and altcoins.

THE DAILY HODL: Economist Alex Krüger Says Bitcoin (BTC) on the Edge of a Breakout With Room To Run – Here’s His Target https://t.co/omJZR37aMv pic.twitter.com/TWFhUDYh24

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This situation, which is linked to regulatory pressure from the SEC, is said to be temporary. This means that over the medium to long term, crypto valuations should continue to rise dynamically.

“I do want to say, on the correlation side, the regulators in the US got very aggressive this year, starting early April. Many large market makers started taking a step outside the market. That made correlations break down to 2020 levels before Bitcoin was a macro asset. That is temporary”, the economist emphasized.