Binance Crypto Exchange Predicts Future Of Bitcoin
Today the crypto market looks pretty bloody with most coins trading in the red in the past 24 hours, but if we look at the past week, it’s mostly green on CMC.
At the moment of writing this article, the king coin is also trading in the red in the past 24 hours, and the digital asset is priced at $11,414.26.
There have been all kinds of predictions about the king coin made, and now, the popular crypto exchange Binance releases a new one.
Binance reveals new Bitcoin prediction
Researchers at the crypto exchange Binance reportedly said that the strength of the US dollar will determine where the Bitcoin and crypto markets are heading next.
According to the online publication the Daily Hodl, there’s a new trading report that highlights the recent negative correlation between the USD and alternative assets such as crypto and gold.
Experts said that back in September, the pullback that took place in the crypto market had been definitely influenced by the retracements in the global equity markets due to the pandemic – this triggered a widespread economic uncertainty.
“The US Dollar has been a key driver of Bitcoin’s success this year. Although, the recent upswing in the dollar has driven crypto assets lower. Any indications of weakness or a continuation of the Dollar’s relentless selling will trigger the next wave of buying in alternative assets such as Bitcoin,” according to the official notes.
Binance Future reveals that open interest in Bitcoin dropped from $1.1 billion to $650 million in September. It’s also important to note the fact that since then, open interest has recovered, and it was able to increase to $960 million.
Bitcoin’s fundamentals remain strong
Binance made sure to highlight the fact that Bitcoin’s fundamentals are still strong:
“As they say, no bull market goes up in a straight line. While it can be nerve-wracking, market corrections do occur regularly during bull markets. Market corrections can be healthy, adjusting overvalued prices, and providing buying opportunities…”
You can check out the complete report in order to learn more details.
CoinMarketCap is a website that provides cryptocurrency market cap rankings, charts, and more. It was purchased by Binance for $400M in 2020.
Andreas Townsend Author
I am a technical writer, author and blogger since 2005. An industry watcher that stays on top of the latest features, extremely passionate about finance news and everything related to crypto.