The crypto market is rising again, with Bitcoin (BTC) bouncing back above $33,000 and Ethereum (ETH) trading above $1,800.
In this positive environment, several key factors could propel the Bitcoin price to $40,000 in the near term.
This article takes a closer look at these factors before highlighting the new presale project Bitcoin Minetrix (BTCMTX), which is also drawing attention after raising over $2 million in its presale phase.
Excitement Around Spot BTC ETF Approval Could Push Bitcoin to $40k
The first reason Bitcoin could rise to $40,000 is the excitement around the potential approval of a spot Bitcoin exchange-traded fund (ETF) in the U.S.
The prospect of an easier way for mainstream investors to gain exposure to Bitcoin through their regular brokerage accounts has left the crypto community buzzing.
In particular, attention is focused on BlackRock’s spot BTC ETF application, which seems to be progressing exceptionally well.
Analysts have pointed to new developments like BlackRock securing a specific license for the fund and preparing to seed the fund with cash this month.
While the initial seed amount would be small, these moves signal that BlackRock is getting ready ahead of a potential green light from the SEC.
With the groundwork being laid for spot BTC ETFs, investors are betting more comprehensive access could significantly boost demand for Bitcoin – potentially driving the coin’s value back up to $40,000 soon.
Consistent Inflows Into Crypto Investment Products Add Momentum for Bitcoin
In addition to the excitement surrounding ETFs, consistent inflows into crypto investment vehicles are fueling Bitcoin’s rise back toward $40,000.
According to the latest report from CoinShares, crypto products marked their fourth straight week of inflows, totaling $66 million.
Most of these inflows went to Bitcoin products, which accounted for $55.3 million or 84% of the total.
While lower than the rush of investment seen earlier this year around the time that BlackRock filed for its spot BTC ETF, these steady increases still represent a growing institutional interest in crypto as an asset class.
With major players like BlackRock and Grayscale battling for their ETF applications to be approved, demand seems poised to soar if regulators give the go-ahead.
As such, this consistent demand points to building momentum that could lift BTC back up to test $40,000 soon.
Dovish Fed Strengthens Bull Case for BTC Hitting $40k
Finally, after a series of aggressive rate hikes intended to tame inflation, the Federal Reserve seems to be shifting to a more dovish stance.
In recent comments, Fed Chair Jerome Powell acknowledged that surging bond yields have tightened financial conditions significantly.
While he did caution that more hikes may come if warranted, Powell struck a surprisingly balanced tone – leading the financial markets to price in a reduced chance of further rate increases.
This apparent pivot is weakening the dollar and boosting risky assets like Bitcoin.
With the Fed potentially moving closer to the end of its tightening cycle, crypto traders are betting that removing this headwind could boost demand for Bitcoin.
This improving macroeconomic outlook could be the final catalyst to propel BTC back to the $40,000 level.
Bitcoin Minetrix Also Bullish as Stake-to-Mine Model for Accessible Cloud Mining Hits $2.1m Milestone
With Bitcoin back on a positive trajectory, several new crypto projects are looking to capitalize on the renewed market momentum.
One such project is Bitcoin Minetrix (BTCMTX), which is currently in a presale phase before its full launch.
This presale phase has raised over $2.1 million in just one month – highlighting the growing level of demand from retail investors.
The key driver of this demand is Bitcoin Minetrix’s valuable use cases, which revolve around making cloud mining more secure and accessible through a novel “Stake-to-Mine” model.
Users can purchase and stake BTCMTX tokens to earn non-tradable credits, which are then burned to acquire mining power.
This provides a decentralized way to mine BTC without needing expensive hardware or depositing funds with shady companies.
With Bitcoin’s price potentially heading back to $40,000 soon, Bitcoin Minetrix offers a way for everyday crypto enthusiasts to gain exposure to mining rewards.
The development team has also laid out a detailed roadmap with four “phases,” including plans for a Stake-to-Mine mobile application and partnerships with leading cloud mining entities.
With BTCMTX still available to buy through the presale for $0.0112, Bitcoin Minetrix could be positioned as a new token to watch closely.
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