Bitcoin Eyes $90K Target Amid Oil Price Drop and Record ETF Inflows
Bitcoin's price has been on an upward trend, reaching near $86,000 after recovering from lows around $85,000. Analysts point to falling oil prices and ETF inflows as key drivers behind this momentum.
The WTI crude futures have dropped over 2% and moved below $90 a barrel, with oil having recently climbed as high as $106 before reversing part of its advance. This decline in oil prices could lead to reduced inflation pressure and weaken the case for further Federal Reserve interest-rate increases in coming months.
According to Alex Kuptsikevich, chief market analyst at FxPro, the crypto advance is linked to stronger risk appetite. He cited a sharp Nasdaq rise, falling oil prices, lower bond yields, stronger global equities, and optimism around US-China negotiations as factors supporting Bitcoin's price.
US-listed spot Bitcoin ETFs attracted nearly $1 billion on Monday, marking their strongest single-day total since October last year. Smaller cryptocurrencies such as PEPE, Dogecoin, and Shiba Inu also advanced alongside Bitcoin's price.