
Jakarta, Pintu News – The cryptocurrency market especially Bitcoin seems to be preparing to surge higher, but there is one macroeconomic factor that could change everything. According to analyst Josh Olszewicz in his June 16 “Macro Monday” update, there is one crucial factor underpinning the market’s current resilience: liquidity.
Bitcoin (BTC) is currently near record highs, indicating an increasingly constructive market structure. Olszewicz emphasized that Bitcoin has managed to withstand significant selling pressure and continues to hold key levels. This is an indication that investors still have high confidence in the asset.
However, this could all change in the event of a change in liquidity policy by the Federal Reserve. According to Olszewicz, improved global liquidity is the key factor behind the current market resilience. Although the Federal Reserve has not indicated a rate cut, there are signs that liquidity-as measured through reverse repo operations and Treasury General Account (TGA) balances-is starting to improve. This provides a bit of breathing room for markets, including Bitcoin (BTC) and other crypto assets.
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Olszewicz identified that US liquidity, which is calculated from the Federal Reserve’s balance sheet minus TGA and reverse repo operations, is a very important factor. Although liquidity is currently on the rise, the increase is still moderate. If this trend continues, it could provide a significant boost for Bitcoin (BTC) to reach higher levels.
However, if there is a tightening of liquidity, either due to unexpected Federal Reserve policies or other factors such as an increase in TGA balances due to the tax deadline, it could be fatal to the crypto rally. Olszewicz also highlighted that a reduced reverse repo facility could pose a serious liquidity problem, which might force the government to reactivate quantitative easing (QE) policies.
Olszewicz marked August as a critical point, with a potential US debt ceiling crisis approaching. If the debt ceiling is not raised, this could significantly affect the market. Investors may turn to assets with a fixed supply such as Bitcoin (BTC) as a bulwark against economic uncertainty.
However, all of this still depends on the stability of inflation, which until recently was the deciding factor for the Federal Reserve’s policy. If Bitcoin (BTC) can maintain its momentum without an interest rate cut, this could change market psychology. Investors may start to see easing as a bonus instead of a necessity. However, without this certainty, the journey to $150,000 is still fraught with uncertainty.
In the world of investing, especially in a volatile market like cryptocurrency, every decision should be based on in-depth analysis and a solid understanding of macroeconomic factors. Liquidity, as a key component of the current market stability, plays an important role in determining the future direction of Bitcoin (BTC).
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*Disclaimer
This content aims to enrich readers’ information. Pintu collects this information from various relevant sources and is not influenced by outside parties. Note that an asset’s past performance does not determine its projected future performance. Crypto trading activities are subject to high risk and volatility, always do your own research and use cold hard cash before investing. All activities of buying andselling Bitcoin and other crypto asset investments are the responsibility of the reader.