Bitcoin Price Could Surge to $90K Amid Macro Hedge Rotation
The macro environment remains volatile, but analysts believe it could be pushing Bitcoin's price higher. The yields on treasuries are rising, and the probability of a rate hike in October has plummeted to 17% from 75% just days ago. Despite this, investors remain cautious, hedging into safe havens.
However, some experts see an opportunity for Bitcoin. Jurrien Timmer, Director of Global Macro at Fidelity, notes that the rotation from gold to BTC could provide the liquidity required for a breakout.
The BTC/XAU ratio is pushing higher and looks ready to break above a significant level, which would be the second time since the rotation started in mid-August. This could signal a move towards $90k. The ratio has ended Q3 up 37%+ higher, making it the best quarterly gain since the Q4 2024 election-driven rally.
Bitcoin's macro hedge appeal is putting $90k back in focus. With FOMC related FUD keeping volatility high, a rotation from gold to BTC could provide the liquidity required for a breakout. As Timmer notes, 'I continue to like exposure to both gold and Bitcoin, but especially Bitcoin looks interesting to me at these levels.'