Bitcoin's Next Move Hinges on U.S. Policy and Institutional Demand

Bitcoin's (BTC) recovery from the recent $5 billion short squeeze has been strong, but Charles Edwards, founder of Capriole Investments, believes its next big move will depend on U.S. policy and institutional demand.

In an interview with John Gillen, Edwards said that Bitcoin must protect $70,000 before a bullish outlook can continue. He sees the current market looking bullish as long as it stays above this level.

Edwards noted that Bitcoin has already broken above two important levels: $65,000 and $70,000. The next key level to confirm a stronger trend is $71,000, while support is around $60,000.

Institutional buying is also adding support, with institutions reportedly buying around 160% of the Bitcoin produced by miners each day, mainly through spot ETFs. However, Edwards expects that view to change depending on inflation, oil prices, and the Iran conflict.