Bitcoin: Nansen's two keys to the next bull run

A ship doesn’t set sail across the ocean without the clear guidance of its captain, nor without keeping an eye on the uncontrollable forces of nature. Likewise, the bitcoin ship is preparing to set sail on its next bullish voyage, with two essential factors on board: regulatory clarity in the US and falling inflation.

Bitcoin and regulatory clarity: the lighthouse in the fog

BTC is increasingly braving US regulatory uncertainty. What’s more, the regulatory fog that has surrounded cryptocurrency in the US is beginning to dissipate.

Cryptocurrency exchanges such as Coinbase and Binance have weathered legal storms led by the US Securities and Exchange Commission, creating waves of uncertainty. However, these challenges have not hindered Bitcoin; quite the opposite, they have served as a fair wind for its sails. Bitcoin’s value has risen by 66.5% over the past six months, reaching a safe harbor at $28,023.

The clearing up of this regulatory uncertainty looks like a beacon in the fog for bitcoin. All the more so as it is driven by the request from asset management giant BlackRock, which wants to anchor the crypto universe with the creation of a Bitcoin ETF. This increased clarity seems to be paving the way for a new bullish adventure for bitcoin.

Inflation: a receding tide

Meanwhile, persistent inflation, like a counter-current, was surprisingly resilient. Despite forecasts of a slowdown, it has remained tenacious, creating an environment where monetary policy, particularly outside Asia, remains restrictive for longer than expected.

However, Nansen predicts that evidence of falling underlying inflation will be another trigger for bitcoin’s next bull run.

Like an experienced sailor who, knowing the forces of nature, prepares to set sail, investors are keeping a close eye on these two key factors. A wind of regulatory clarity is finally blowing, and inflation may soon show signs of receding.

In the midst of this changing environment, bitcoin looks set to become a financial safe-haven, on a par with gold or the 1970s dollar. With the dollar in decline and BlackRock entering the game, bitcoin’s journey to its next bull run may well be in sight. At this stage, the question that remains open is: how far will this adventure take Bitcoin? The horizon looks promising, and the US Congress seems to be on Bitcoin’s side.