Sat 11 Jan 2025 ▪
5 min read
▪
by
Luc Jose A.
Bitcoin is facing a new setback, shaken by a market that is reevaluating its expectations. Indeed, the publication of a solid economic report in the United States has strengthened the dollar, which reduces the likelihood of an imminent interest rate cut by the Federal Reserve. Such a reaction has led to a correction below $93,000. This has temporarily stalled the bullish momentum of crypto. However, Grayscale remains confident and views this pullback as mere turbulence rather than a reversal of trend. According to Zach Pandl, head of research at the company, the strength of the dollar and the restrictive monetary policy are temporarily weighing on the market, but the fundamentals of Bitcoin remain strong. With rising institutional adoption and a changing regulatory environment, the bullish trajectory seems intact despite short-term fluctuations.