CMO PINTU Reveals Four Important Narratives Of The 2024 Bull Market

Timotius Martin, Chief Marketing Officer of PINTU. (Photo: Doc. DOOR)

JAKARTA - The price of Bitcoin (BTC) throughout 2023 continues to increase by more than 150 percent and its market capitalization touches $858 billion. The increase in the price rate of BTC is a positive sentiment for crypto investors to welcome the bull market in 2024 & 2025.

As an investor, the euphoria of welcoming the bull market must be well prepared, one of which is seeing important narratives that have the potential to affect the crypto market around the world. Here are four important narratives in the crypto market according to Timotius Martin, the Chief Marketing Officer of PINTU, quoted Wednesday, December 13.

The Approval of the Nearer Spot Bitcoin ETF: Application for Bitcoin spot ETF & ETH spot ETF which is awaiting a decision from the United States Securities and Exchange Commission (SEC) is still being discussed. The big narrative is that the ETF spot is likely to be approved by the SEC and will make incoming money flows not only from retail players, but also large institutions.

If large amounts of funds enter Bitcoin and ETH, it is believed to affect the price of Bitcoin and ETH crypto assets themselves. Major financial institutions that apply include BlackRock, Fidelity, & Grayscale.

Development of the Fed Interest Rate in 2024: From March 2022 to July 2023, the Fed is very hawkish (aggressive) in raising interest rates on the grounds of countering inflation rates in the United States (US). Inflation that occurs in the US can affect economic conditions or inflation in the market, including in Indonesia. The increase in interest rates has occurred from 0.25 percent to 5.50 percent, but in 2024 many believe the increase will be stopped, or stable, and can even be lowered, because inflation is considered under control.

If interest rates go down, people will be more open to investing in high-risk assets with high rewards such as tech stocks and crypto assets.

Crypto Investment Regulatory Certainty: Regulations are important in ensuring investing in crypto assets. Judging from its development, reported by Coinmarketcap, two countries have allowed cryptocurrencies as legal tender such as the Central African Republic of Republic and El Salvador. Regulational certainty is expected to foster higher adoption.

Bitcoin Halfing 2024: Bitcoin halling is one of the important narratives in 2024. This halving event is divided into two perspectives; historical and macroeconomic. In terms of historical halling previously, six months or one year after halving, the price of Bitcoin has increased.

The last halving time in 2020 was the start of the bull run with an increase in Bitcoin by more than 300 percent. Halving in 2024 will be different from the previous half because it is influenced by many factors such as; a large global economic crisis and high interest rate that is expected to affect the increase in Bitcoin prices.

"The four narratives, namely Bitcoin ETF Spot, interest rates, regulatory certainty, and Bitcoin Halfing are important factors that can become fire starters in the bull market, with a fourth note having to be positive. If it only depends on one factor, it will not be optimal. As investors, we need to be wiser in seeing the important factors and narratives that occur so that we are ready to face the risks that occur," Timo concluded.