A notable assessment has emerged suggesting that the downturn in the Bitcoin market may end this month, and the leading cryptocurrency could re-enter an upward trend. Andre Dragosch, Head of Research at Bitwise Europe, stated that under current conditions, the bottom for Bitcoin could be reached sooner than the general market expects, potentially paving the way for a new bull cycle.
According to Dragosch’s assessment, a strong rebound, particularly in semiconductor sector stocks, could be a significant catalyst not only for technology markets but also for crypto assets.
According to the analyst, a strong rally in semiconductor stocks from current levels could increase the likelihood that the US Federal Reserve (FED) will adopt a more dovish stance in monetary policy. This could ease pressure on risky assets and pave the way for assets like Bitcoin to regain strength.
While the prevailing market view is that Bitcoin will bottom out in October, Dragosch argues that this timeline could be brought forward. According to the research director, it is highly likely that Bitcoin will bottom out and begin to recover this month.
Experts point out that the Fed’s interest rate policy, global risk appetite, and the performance of technology stocks have recently become more closely linked to Bitcoin price movements. In particular, changes in liquidity conditions and investors’ willingness to move towards risky assets are considered among the main factors determining the short-term direction of the crypto market.
Andre Dragosch’s assessment has revived optimistic expectations for the second half of the year in the market, suggesting that this month could be a critical turning point for Bitcoin investors. However, analysts emphasize that despite a possible recovery scenario, macroeconomic data, Fed messages, and global market conditions should be closely monitored.
*This is not investment advice.
