Posted by Xoken.org – The trend of strengthening crypto asset prices continues until the end of this week. In fact, the price of Bitcoin has once again penetrated the level of 67,000 US dollars per coin.
Based on CoinMarketCap data, on Saturday (18/5/2024), the price of Bitcoin reached around 67,100 US dollars per chip. This value strengthened by around 1.23 percent in the last 24 hours, and shot up 10.37 percent during the week.
Not only Bitcoin, the increase was also experienced by another large cryptocurrency, Ethereum. Ethereum’s recorded value rose 2.87 percent in 24 hours and 7.28 percent in a week, to 3,120.87 US dollars.
Indodax CEO Oscar Darmawan said that the strengthening trend in the crypto market cannot be separated from the US inflation data announced a few days ago.
April’s inflation figure was 3.4 percent lower than market estimates, and is considered to indicate a decline in inflationary pressures.
“The decline in US inflation provides a breath of fresh air for the crypto market, especially Bitcoin. This strengthens investor confidence in Bitcoin’s potential as a hedge against inflation,” he said, in his statement, Saturday.
Apart from that, Oscar said, the increase in Bitcoin prices was also supported by increased trading activity among retail and institutional investors. Rising funding rates indicate an increase in leveraged buying on many retail exchanges.
“Momentum like this is eagerly awaited by investors every month,” he said.
Oscar further stated that determining whether inflation will decrease or increase in the United States has a significant impact on interest rates globally.
In this context, investors will use the US inflation rate as one of the main references in determining the most appropriate investment instrument to choose.
Seeing this, Oscar said it was important to take advantage of moments like this to invest using the Dollar Cost Averaging (DCA) technique.
“Doing DCA will help us to manage our investments and will be profitable when there are moments rokokbet like this,” he said.