- Wall Street experts predict bullish acceleration in May for the wider cryptomarket led by Bitcoin.
- Data on chains shows that whale investors on a crypto shopping are for heavily undervalued altcoins.
The total crypto market capitalization has won more than 4 percent in the last 24 hours to float around $ 3.25 trillion on Thursday 8 May during the Late Noord -Maande trade session. Bitcoin (BTC) price rose by more than 5 percent to reach a local highlight of approximately $ 101,784.
The wider Altcoin market has registered double percentage profits over the past 24 hours, led by Memecoins. Ethereum (ETH) price had risen more than 15 percent in the last 24 hours to act at the time of this writing by around $ 2,070.
Great forces behind the current increase in the crypto market
Short squeeze impact
In the last 24 hours, more than $ 626 million was liquidated from the wider cryptomarket, with the short traders amounting to more than $ 536 million. As a result, the chance of a short squeeze increased considerably, in the midst of remarkable greed and bullish sentiment.
Federal Reserve Monetary Policy
On Wednesday, the Federal Reserve stopped its credit rate between 4.25 and 4.5 percent, as well -predicted by Wall Street -Economes. In particular, the rising internship flat risks, as emphasized by FED chairman Jerome Powell, have forced investors to look for alternative investments, with crypto assets that appear between the top.
Rising demand from institutional investors
Data analysis of the chains for the past days and weeks shows a strong demand for crypto assets by institutional investors. For example, the American place BTC ETFs have registered a net entry from cash of around $ 1.58 billion since the beginning of May, which completes the cash inflow of $ 2.97 billion April.
More institutional investors-guided by strategy and metaplanet Hebben used the global stock market to buy more bitcoins and top-altcoins such as Solana (SOL) and Ethereum.
Geopolitical and trade developments
The demand for Altcoins and Bitcoin has continued to increase due to the global geopolitical tensions and continuous trade war negotiations. Earlier on Thursday, the United States and the United Kingdom announced A strategic trade agreement.
In the meantime, tensions between Pakistan and India have pushed more investors to the Bitcoin market to cover themselves against macro-economic uncertainties in the short term.
Regulatory catalysts
As Coinpedia reported, two of the American states – including New Hampshire and Arizona – have already approved the respective legislation to set up strategic Bitcoin reserves. It is expected that more states will follow in the same direction in the short term and ultimately the federal government led by Donald Trump.
As a result, the demand for Bitcoin and the wider Altcoin market continued to grow, especially among institutional investors.
Credit : coinpedia.org
