Analysts Claim Bitcoin Has Evolved from a Halving Trade to a Macro Asset

Written by Emily J. Thompson, Senior Investment Analyst

Source: stocktwits

Updated: 13h ago

0mins

Source: stocktwits

Bitcoin Price Drivers: Analysts indicate that Bitcoin's price is now primarily influenced by macroeconomic conditions rather than halving events, with business cycle indicators like manufacturing PMI showing a stronger correlation with price movements.
Shift in Market Dynamics: A recent study suggests that Bitcoin has transitioned from being driven by halving cycles to being treated as a macro asset, with macroeconomic forces becoming the dominant influence on its price.
Supply and Demand Factors: The impact of reduced miner supply has diminished due to deep liquidity and institutional participation, leading to a marginal effect of supply cuts on Bitcoin's market.
Investment Focus: Investors are advised to pay closer attention to macroeconomic indicators rather than halving countdowns, as measures like PMI readings and liquidity conditions now provide clearer signals for Bitcoin's performance.

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About the author

Emily J. Thompson

Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.