Bitcoin up 10%, eyes $130K in June expert state
Bitcoin ended May with an almost 10% gain, and investors are already positioning for an even more powerful June. Blockchain adoption is pulling ahead of macro stories, altering the way Bitcoin is being traded and talked about. This is being powered by corporate treasuries, regulated investment products, and a wave of US policy uncertainty. The OG crypto closed its second straight month in the green, driven by constant inflows into Bitcoin ETFs and continued accumulation by public companies. According to Bitcoin Treasuries, the number of Bitcoin held by noted businesses increased by 4% to $85.6 billion. In the same month, spot ETFs attracted $5.6 billion. These are long positions sitting on corporate balance sheets, most likely unaffected by short-term volatility. Traders anticipate that this trend will continue into June. Policy risks and macro concerns fuel investor demand. Donald Trump’s tariff decisions rattled broader markets at the end of April, briefly dragging Bitcoin to around $76,000. The coin quickly rebounded, closing May with a 13.5% increase, demonstrating its resilience during market dips. However, experts remain cautious. Chris Rhine from Galaxy Digital highlighted the market’s vulnerability to sudden policy changes, particularly regarding tariffs, making short-term price forecasting extremely challenging. Rhine suggested that such uncertainty could lead to a downturn in demand-led markets and potentially prompt monetary policy support, resulting in lower interest rates. Despite this, Bitcoin’s ability to perform independently of equities has attracted attention, outperforming in both risk-on and risk-off environments. Federico Brokate from 21Shares noted the significance of this trend and its potential bullish implications for Bitcoin’s price if it continues throughout June. Nevertheless, he emphasized the need for further observation under more volatile conditions to assess its sustainability. On May 22, Bitcoin reached an all-time high of $111,999 but retraced to around $104,000 a few days later following a social media post by Trump, alleging a breach of trade agreement by China. Regulatory developments and technical milestones remain key factors influencing market sentiment. Investors are closely monitoring ETF flows, corporate treasury activities, and regulatory advancements. The GENIUS Act, aimed at directing and developing national standards for US stablecoins, has progressed to the Senate after overcoming initial resistance and is set for a full vote in early June. This legislation could impact the issuance and governance of stablecoins, potentially affecting Bitcoin’s liquidity. Additionally, concerns arise from another stablecoin bill, with regulatory friction anticipated in the coming weeks. From a technical perspective, Bitcoin’s setup is critical. Tracy Jin of MEXC highlighted the importance of securing the $109,000 support level, noting hedge funds’ put options at that level that could exert downward pressure if breached. However, the upside potential is significant. Tracy suggested that Bitcoin could target $130,000 in June upon surpassing the $113,000 to $115,000 resistance range. Maintaining the current momentum and successfully breaking the $115,000 level could propel the price to $130,000 in June.
