Bullish Tailwinds For BTC Form, US Committee Approves $593B In Benefits
Bullish tailwinds for BTC are forming with the ongoing price rally in the Bitcoin market paused a day ago with the traders decided to secure their short-term profits against the US dollar despite the long-term outlook showing that the currency is in a vital state so let’s read more in today’s bitcoin news.
The BTC/USD exchange rate dropped to an intraday low of $46,845 in the European sessions as per the data from Coinbase Pro, the popular US-based trading platform but the downside correction was accompanied by a meager daily volume which showed a weaker bearish bias as more analysts await BTC to hit $50K in a week which is because of the flurry of catalysts that appeared this week. The Fortune 500 company Tesla announced earlier this week that it had purchased $1.5 billion worth of BTC and this move validated the crypto’s bullish narrative that the cryptocurrency could even protect people against US devaluations.
Twitter CFO Ned Segal also considered the idea of adding Bitcoin to the social media’s platform balance sheet and clarified that the need to purchase BTC will arise after Tesla’s employers will demand it in the form of payments or salaries. The same day, Mastercard also announced it will integrate payments into the services later this year. Also, BNY Mellon, the oldest American bank revealed that it will offer Bitcoin custodian service via the same platform that the clients use for traditional securities and cash. Petr Kozyakov who is the co-founder and CBDO of Mercuryio said:
“The institutional and corporate demand for the pioneer cryptocurrency as a store of value and a hedge against inflation is going to keep BTC/USD on the bullish course.”
The analyst added that BTC will likely be able to cross above the $50K level by next Monday if the optimism sustains. The bullish tailwinds for bitcoin are also showing up as the US Committee approved $593.5 billion in benefits through tax credits and payments. The aid came as a part of US President Joe Biden’s $1.9 trillion stimulus package which is made up of $1400 direct payments. More package components will appear by Friday while the full-house voting on the overall stimulus will get concluded by February 22.
House Panel Advances Stimulus: Approves $1,400 Payments, Personal Tax Credits, Loans For Insolvent Pensions https://t.co/lAwVu2pdcE
— zerohedge (@zerohedge) February 12, 2021
Bitcoin bulls see more stimulus as a cue for more debt over the current fiscal deficit in the US and many believe that the Federal Reserve will need to monetize debt further driving the US dollar value. This could help Bitcoin’s to sustain the bull run into 2021.