This week has highlighted bitcoin's resilience as a digital asset, despite volatility in global markets. Bitcoin rose approximately 5% while the CoinDesk 20 Index increased by 6% last week, showing stronger performance compared to traditional assets. Amid forced liquidations seen on April 7 and 9, bitcoin maintained a narrow trading range, challenging critics of its stability. The distinction between bitcoin as a 'store of value' and traditional safe havens like gold is critical, as bitcoin is still maturing and lacks the same liquidity access. Recent data from the University of Michigan indicates rising inflation expectations and potential unemployment, factors which historically have benefited bitcoin when real interest rates decline. Regulatory developments also signal a favorable environment for the broader crypto ecosystem, suggesting that if bitcoin rallies, other quality projects may follow suit. Andy Baehr emphasizes that the current landscape provides favorable conditions for bitcoin and the crypto market overall.

Source 🔗