Expert outlines prerequisites for Bitcoin to reach $75,000

The current rise in the price of the first cryptocurrency above $50,000 is linked to positive crypto-market news that have fueled investor interest. If the trend persists, the asset could rally further, said Yuri Mazur, head of the data analytics department at CEX.IO Broker, in a ForkLog comment.

“If Bitcoin managed to hold above $50,000 by the end of August, it is quite likely that the bulls will push the main cryptocurrency’s quotations to new all-time highs near $70,000–$75,000,” the expert noted.

One of the main bullish factors he named is the network upgrade: the Ethereum hard fork in early August, the upcoming launch of smart contracts on the Cardano network in September, and the Taproot Bitcoin soft fork in November 2021.

“Network upgrades are a sign of the development of cryptocurrencies and their adaptation to sufficiently aggressive conditions, which inspires both the crypto community and large market participants,” Mazur said.

Another positive factor is SpaceX’s investments in Bitcoin, which, according to the analyst, underscore Elon Musk’s commitment to cryptoassets.

“However, this news is unlikely to be considered a trigger for bullish sentiment, as the billionaire’s moves are viewed by the crypto community with a high degree of skepticism, after Tesla halted sales of electric cars for Bitcoin in May and sent the asset tumbling,” Mazur added.

Statements by Twitter about the possible integration of Bitcoin into the social network’s ecosystem also played a positive role, though they did not become a core driver of the movement of digital assets, the expert believes.

“Cryptocurrencies in August demonstrated the ability to react to internal industry news, which in the long run could offset the unexpected impact of external negative factors, such as actions by authorities and regulators,” he concluded.

Earlier, Bloomberg Intelligence senior commodity strategist Mike McGlone stated that Ethereum could become the main factor, dampening Bitcoin’s rise to $100,000.

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