The last decline in the crypto money market worried investors. However, Standard Chartered analysts say this is an opportunity. Experts propose a strategy of “purchase from the bottom”. In the last 24 hours, the total value of the crypto market decreased to 3.5 trillion dollars with more than 6 %loss. Bitcoin also lost 5 %and fell to $ 99,000. However, a short recovery is seen. Expectations in the current situation are as follows…
Why does the crypto money market fall?
Geoff Kendrick, the President of Standard Chartered’s Digital Assets Research, attributed the last decrease to the influence of US President Donald Trump’s statements and market expectations. According to Kendrick, investors have great hope for Trump’s new steps towards crypto currencies. However, only hope cannot create a solid strategy for the market in the long run.
“Hope is not a strategy. It can last for days. Ancal is not for weeks. When the hope is over, crypto currency prices may fall between 10 %and 20 %, Kend, Kendrick predicts that Bitcoin can reach $ 200,000 by the end of 2025.
According to Kendrick, as the institutional interest in large crypto currencies such as Bitcoin and Ethereum increases, there is a “light altcoin season” potential. However, in this process, BTC and ETH are critical to attract institutional investments. Such a situation will limit the return to the subcoins.
The decline in crypto currencies is closely related to a 3 %depreciation of NASDAQ futures. The Chinese -based artificial intelligence attempt Deepseek’s progress has made concern among investors. While the popularity of Deepseek application increased rapidly, this revealed that Silicon Valley’s dependence on artificial intelligence growth. Kendrick emphasizes that the relationship between crypto currencies and the technology sector has become stronger.
Another effect on the markets was President Trump’s softening attitude towards China. Trump, who previously announced that he would apply high tariffs to Beijing, withdrew this threat after his positive meeting with Chinese President Xi Jinping. However, the fact that the Central Bank of Japan increased interest rates to the highest levels of the last 17 years squeezed the liquidity in the markets.
What’s next?
According to David Brickell, the ruler of Frnt Financial and former Forex investor Chris Mills, Trump’s industrial -friendly policies and the reducing interest rates of central banks will create revaluation in crypto currencies in the long run. In particular, the European Central Bank is expected to give signals for interest rate cuts. Thus, in one case, it will increase the demand for risky assets such as crypto money market.
Let’s remember Trump forgives Ross Ulbricht, the founder of Silk Road by making a quick start to his second period. However, it is on the agenda that it raises the idea of creating a crypto reserve. These developments are considered as a sign of “paradigm change .. Analysts point out that these steps contain significant regulatory changes that crypto markets are not fully aware of.
Despite fluctuations in crypto markets, low interest rates and corporate interest will support the long -term price increase of digital assets, especially Bitcoin. Analysts advise investors not to have short -term concerns and act strategically.
