Why Bitcoin Will Rally Again In July
By Benzinga
Crypto journalist Laura Shin predicts a potential rebound for Bitcoin (CRYPTO: BTC) in July, following a typical June slump.
What Happened: Shin pointed out that Bitcoin’s price usually dips in June, only to recover strongly in July. She notes that in five previous instances, Bitcoin bounced back with double-digit gains in July after a negative June, rallying over 9.6% and sometimes as high as 24%. BTC is down almost 9% this June from $67,700 to $61,400.
Shin identified several factors contributing to Bitcoin’s current decline, including lack of new capital, selling pressure from the German government and impending Mt. Gox disbursements.
July marks a significant month with former President Donald Trump likely to speak at a Bitcoin convention in July, Mt. Gox disbursements in July and the anticipated Ethereum ETF trading launch.
Also Read: Bitcoin, Altcoin Corrections Are Normal, Says Trader: This Is His ‘Best Strategy’ To Handle Them
Why It Matters: Despite these pressures, experts like Noelle Acheson and Nic Carter suggest that the Mt. Gox repayments may not trigger a significant sell-off. They anticipate that many creditors will hold onto their Bitcoin, reducing the expected selling pressure.
Shin also pointed out that Bitcoin’s June decline coincides with the expected debut of multiple spot Ethereum ETFs in July. Some market analysts believe this could lead to a rotation into Ethereum.
JPMorgan analysts are forecasting temporary market pressure on Bitcoin in July due to Mt. Gox repayments but expect a recovery in August.
What’s Next: The influence of Bitcoin as an institutional asset class is expected to be thoroughly explored at Benzinga’s upcoming Future of Digital Assets event on Nov. 19.
This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors.
Image: Shutterstock
