A strong move for Bitcoin over the weekend has the coin on course for a test of the highs above $109,000.
BTC found strong support with the stock market as it tested the $76,768 level. The coin now looks to push for the $109,000 level this week.
The move to new highs could come easily as talk of the bullish weekend could see ETF investors rushing to catch the trend. Bitmex founder Arthur Hayes has predicted that Bitcoin could hit $1 million before 2028.
A new round of bullish price predictions could see investors trying to join the rally. Hayes believes that capital controls worldwide and US Treasury “devaluation” means that Bitcoin will become a popular safe haven for investors.
“Foreign capital repatriation and the devaluation of the gargantuan stock of US Treasurys will be the two catalysts that will power Bitcoin to $1 million sometime between now and 2028,” he said.
Volume in this upmove has not been particularly strong and that could provide further fuel for a breakout this week. Credit ratings agency Moodys rattled the US dollar last week with a downgrade for the country’s debt.
Reducing the debt rating from ‘AAA’ to ‘Aa1’, Moody’s noted that successive US administrations had not done enough to tackle rising deficits and interest costs.
The downgrade “reflects the increase over more than a decade in government debt and interest payment ratios to levels that are significantly higher than similarly rated sovereigns,” a Moody’s statement said.
That could add to the safe haven theme and bring traders into the crypto market this week. US tech stocks are around -4% lower from their previous highs and may look to close that gap this week. A move in risk-on assets would be another boost for Bitcoin as it looks to test the all-time highs.
