[Analysis] "Possibility of US Fed's 'Dovish Shift' Increases... Bitcoin Prepares for All-Time High"

An analysis suggests that Bitcoin (BTC) could soon reach an all-time high.

Matt Mena, a cryptocurrency research strategist at asset management firm 21Shares, stated in an interview with The Block on the 15th (local time) that "a combination of positive inflation indicators and policy expectations ahead of Trump's inauguration is laying the foundation for a sustained rally across global markets." He noted that "risk assets like Bitcoin are preparing to break all-time highs."

Mena focused on last month's US Consumer Price Index (CPI). Last month's US core CPI was 3.2%, 0.1 percentage points below the market expectation of 3.3%. Mena said, "The December CPI removed the last macroeconomic barrier that kept Bitcoin below $100,000 before Trump's inauguration," adding that "the likelihood of a dovish shift by the Fed has increased."