Bitcoin Price Corrected, Reku Analyst: US Government Support So Hope

Illustration of crypto assets. (Doc. Reku)

JAKARTA - After setting a new record high at the level of US$108,000 (Rp1.75 billion) last week, the price of Bitcoin weakened to the level of US$93,000 (Rp1.5 billion) on Monday, December 23.

However, Bitcoin selling pressure was seen starting to subside on Tuesday, December 24. Where based on data from CoinMarketCap, Bitcoin is now at the level of $94,000 or around Rp1.52 billion.

Responding to these conditions, Reku analyst Fahmi Almuttaqin said the decline was the result of negative sentiment towards the outlook for US monetary policy in 2025.

"Last week, the US central bank, The Fed, hinted at a rate of interest rates that will remain high within a longer period of expectations. Concerns about inflation still lurking and projected cuts in fewer interest rates in 2025 trigger sell-offs on risky assets such as stocks and crypto assets," Fahmi said in a written statement.

Although currently experiencing a correction, Fahmi emphasized, Bitcoin still recorded an extraordinary increase throughout 2024. On a year-to-date basis (YTD), Bitcoin has increased by more than 110 percent and more than 30 percent after the US election.

He also explained that the current Bitcoin correction reflects a combination of the influence of the more stringent projection of US monetary policy and profit-taking after the rally that occurred after the US election.

"Meskipun demikian, potensi dukungan dari jajaran pemerintahan pro-crypto AS di bawah kepemimpinan Donald Trump dapat memberikan sinyal bahwa percayaan terhadap asse kripto ini belum memburu," tandasnya.

According to him, the commitment or even real policy-making that has had a direct positive impact on the crypto market and industry from the US Federal Government has the potential to revive investor euphoria and sentiment towards the crypto market.