Bitcoin Closes February Positive, What is the Potential in March 2024?

Liputan6.com, Jakarta – Starting the first day of March 2024, the price of Bitcoin was observed to be correcting, after soaring high past the level of USD 63,000 or the equivalent of IDR 989.2 million (assuming an exchange rate of IDR 15,700 per US dollar). Bitcoin recorded a surge of 45% throughout February, reaching a performance milestone not seen since December 2020.

BTC also secured profits for six consecutive months. Tokocrypto trader, Fyqieh Fachrur, said that analysts believe BTC will reach a price of USD 64,000 or around IDR 1 billion, but the market appears to be taking a break for correction ahead of this weekend.

“In the last 24 hours Bitcoin (BTC) remained stable at USD 60,000 to USD 61,000, marking a solid consolidation after the dramatic surge in the last few days,” said Fyqieh in a press release, written (2/3/2024)

Fyqieh added, this strong support was balanced by the RSI (Relative Strength Index) indicator which reached 89, indicating a trend bullish strong and potential for further upside.

However, according to Fyqieh, it should be noted that if BTC breaks through the ATH (All-Time High), the potential increase will only be around 8% more from the current position. One of the main factors in BTC's correction was Grayscale Bitcoin Trust (GBTC) outflows surging on Thursday, testing buyer demand for BTC. Bitcoin immediately fell 2.54%.

ETFs are the main driver

ETFs have become one of the main drivers for the adoption of Bitcoin by institutional investors, giving more legitimacy to this digital asset. Bitcoin's explosive rise is due to complex supply and demand factors, as well as the fact the Bitcoin halving is approaching and Bitcoin ETFs are making a lot of money.

“However, amidst the excitement about the potential increase, there are challenges that must be faced, especially for the Fed,” said Fyqieh.

Personal Consumption Expenditure (PCE) data which rose by 0.42% MoM (Month-over-Month) shows that inflationary pressure still exists and is expected to continue to increase.