The price $BTC approached a local bottom. This was stated by CEO of the investment company VanEck, Jan van Eck, in an interview with CNBC.
According to him, the four-year halving cycle continues to drive quotes, rather than fundamental factors. Van Eck expects a gradual increase in digital gold this year.
He reminded of the logic of trends: three years of growth are followed by a year of significant decline. The head of VanEck considers the current situation a typical bear market, but is confident that the asset is already forming a price bottom.
Debates continue in the crypto industry about the relevance of four-year cycles. Opponents of this theory argue that the market structure has changed. As arguments, they cite high demand for spot ETFs, the weakening of the US dollar, and positive shifts in regulation.
The price recovery coincided with an escalation of geopolitical tensions in the Middle East due to the conflict between Israel and Iran. Van Eck suggested that this tension supported the price of digital gold.
In conditions of economic instability, cryptocurrencies allow funds to be transferred outside of traditional banks. Van Eck called the Middle East a region friendly to digital assets. He emphasized that blockchain payments are much more efficient and reliable than outdated financial systems.
A structural reversal is not anticipated.
The behavior of Bitcoin's price indicates a weakening of selling pressure. However, analysts at 10x Research warn: there are currently no signs of an exit from the global bear trend.
According to them, digital gold stopped falling against the backdrop of negative news. The asset held the support level at $62,500 after three tests.
The RSI indicator shows growth, and the first cryptocurrency is trying to establish itself above the 20-day moving average (around $68,500). Bollinger Bands are narrowing, indicating a possible expansion of the trading range.
Experts at 10x Research recorded a decrease in volatility, an influx of funds into ETFs, and the disappearance of the asset's discount on the Coinbase exchange. They described the current situation as a 'tactical shift', emphasizing that a structural reversal has not occurred and Bitcoin remains in a bear market phase.
Justin d’Anetan, head of research at Arctic Digital, agreed that the cryptocurrency market's reaction to external events has become more measured. Possible tariffs, geopolitical tensions, and sustained high interest rates did not lead to a price crash.
According to the expert, sellers are exhausted, and buyers have started to accumulate positions. This creates conditions for the consolidation of the asset.
Andri Fauzan Adziima, head of research at Bitrue, linked the recent price bounce from $63,000 to the situation in the derivatives market.
Negative financing rates led to a short squeeze — a mass liquidation of short positions. This temporarily eased pressure on the asset. Adziima added that for a confirmed upward trend, the market lacks an influx of new capital and macroeconomic drivers.
Pump of retail investors
According to analysts at Santiment, the price increase of Bitcoin to nearly $70,000 could have been a short-term pump driven by retail investors.
Experts recorded a strong surge of positive sentiment on social media at the moment when the asset's price risked falling below $65,000.
Over the next few hours, Bitcoin gained 7%. The coin reached a local maximum at $69,900, where it faced resistance from sellers.
Analysts believe that metrics indicate a possible limitation of the rally. Santiment also warned traders about the risks of maintaining high volatility. Further price movement of the asset heavily depends on the current global news agenda and macroeconomic factors.