Buy or trade bitcoin, which is better?
The Fed’s latest interest rate hike may be the last for this cycle, which could set the market up for another strong rally, the report said.
Bitcoin (BTC) could rally 20% to around $35,000 - $36,000, crypto-services provider Matrixport said in a research report on Thursday.
Bitcoin has been trading in a narrowing wedge that is about to be broken to the upside, the report said, adding that technically this could project a move higher by an amount equal to when the wedge started to be formed, a range of about 20%.
Matrixport says that while the Federal Reserve raised interest rates another 25 basis points yesterday, there is a strong probability that this was the last hike for this cycle. This could set the market up for another strong rally.
Stock buybacks are now restarting following the end of the recent earning season and this will “continue to be a general tailwind for stocks and risk assets,” wrote Markus Thielen, head of research.
Bitcoin trading volumes may have declined recently, the note said, but the “path higher sees only limited resistance.”
“Transactions on the Bitcoin network have reached new all-time highs as the number of active addresses on the Bitcoin network has remained strong, near 1 million addresses,” the note added.
Crypto sentiment has markedly improved with meme coins being actively traded, the report added.
We all know the predictions ($400k) and the commentators biased opinions, but we ask is it better to buy or trade Crypto's?
Whether buying or trading Bitcoin is better depends on your specific goals and circumstances.
Buying Bitcoin involves purchasing the cryptocurrency with the intention of holding it for a longer period of time, with the expectation that the price will increase in the future. This is a good option if you believe in the long-term value of Bitcoin and want to invest in it as a store of value or as a speculative asset.
Trading Bitcoin, on the other hand, involves buying and selling the cryptocurrency in a shorter time frame, usually with the goal of profiting from price fluctuations. This requires more active management and monitoring of the market, as well as a good understanding of technical analysis and market trends. Trading can be more risky, but also potentially more profitable in the short term.
In summary, if you are looking to make a long-term investment in Bitcoin and believe in its potential for growth, buying and holding may be the better option. However, if you have experience and expertise in trading and are willing to take on more risk, trading may be a more profitable option in the short term. It's important to do your own research and consider your own goals and risk tolerance before making a decision.
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