Bank AI

David

Bitcoin

<p>The post <a href="https://coinpedia.org/news/coinbase-report-hints-price-drop-for-bitcoin-despite-new-all-time-high/">Brace for Bitcoin Price Drop Despite New ATH, Says Coinbase</a> appeared first on <a href="https://coinpedia.org">Coinpedia Fintech News</a></p> 
<p>In a recent report, Coinbase analysts David Duong and David Han spotlight potential hurdles facing cryptocurrency markets, even as <a href="https://coinpedia.org/price-prediction/bitcoin-price-prediction/">Bitcoin</a> reaches record highs.</p> 
<p>To kick things off, a surge in short-covering initially fueled Bitcoin’s upward momentum. However, the analysts stress the critical role of U.S. spot Bitcoin ETFs in maintaining demand. Despite this, they caution that upcoming macroeconomic and technical challenges could impact the market in the weeks ahead.</p> 
<h2 class="wp-block-heading" id="h-what-s-coming">What’s Coming?</h2> 
<p>Coinbase <a href="https://www.coinbase.com/institutional/research-insights/research/weekly-market-commentary/weekly-2024-03-08">report highlights</a> potential challenges associated with the Federal Reserve’s choice to cancel the Bank Term Financing Program (BTFP). The move, scheduled for March 11, could affect banks’ opportunities but could also bring some problems back into the financial system</p> 
<p>Adding to the complexity, decisions by fund managers to decline or accumulate at the quarter’s end could tighten the market. Coinbase suggests that this combination of factors might lead to a period of restrained Bitcoin trading until a significant event occurs – the much-anticipated Bitcoin halving in mid-April.</p> 
<h2 class="wp-block-heading" id="h-a-countdown-to-change">A Countdown to Change</h2> 
<p>Happening every four years, the impending <a href="https://coinpedia.org/press-release/buy-before-the-bitcoin-halving-event-in-april-list-of-top-altcoins-in-2024/">Bitcoin halving event</a> in mid-April is set to slash mining rewards in half. According to Coinbase’s report, this event could introduce a wave of unpredictability into the market, marking a potential turning point.</p> 
<p>Intriguingly, the report also explores the evolving role of exchange-traded funds (ETFs) in shaping Bitcoin’s behavior. ETFs, now holding nearly three times the amount of Bitcoin as miners, introduce a new dynamic that makes predicting market movements based on past cycles more challenging.</p> 
<h2 class="wp-block-heading" id="h-all-eyes-on-the-months-ahead">All Eyes on the Months Ahead</h2> 
<p>Wrapping up the report, <a href="https://coinpedia.org/news/coinbase-drops-warning-the-ai-crypto-bubble-thats-about-to-burst/">Coinbase</a> provides valuable insights into the challenges ahead for Bitcoin, offering a clearer picture of the broader financial landscape and how the market is evolving.</p> 
<p>As the cryptocurrency world grapples with these upcoming challenges, attention is now focused on the horizon of the Bitcoin halving event in mid-April. This anticipated turning point is expected to shape the future trajectory of the market, capturing the interest of investors and enthusiasts alike.</p>

Brace for Bitcoin Price Drop Despite New ATH, Says Coinbase

Table of Contents

CoinPedia News

Other articles published on Mar 11, 2024

DeFi protocol Unizen to provide ‘immediate reimbursement’ after $2.1M hack

75X Gains Propel DeeStream (DST) to Soar as More Ethereum (ETH) & Solana (SOL) Investors Join the...

When Will SHIBA Inu Reach New Heights Above $0.000236? Expert Predictions

Bitcoin halving: What’s different this time around?

Floki Crypto Looks Promising As Major Metrics Support Its Price?

University of Glasgow Pioneers Framework to Eliminate Gender Bias in Healthcare AI

Join our free newsletter for daily crypto updates!