StanChart optimistic about Bitcoin breaking streak of crimson weekends

Bitcoin (BTC) might see a turnaround this weekend after six consecutive weekends of destructive returns, based on Customary Chartered head of digital property analysis Geoffrey Kendrick.

In a analysis notice shared with CryptoSlate on Feb. 14, Kendrick highlighted Bitcoin’s current sample of weak weekend worth motion, with each weekend since early January posting destructive returns.

He attributed the declines to market-moving headlines, together with volatility tied to DeepSeek-related information in late January and tariff considerations on Feb. 12.

Nonetheless, with macroeconomic situations enhancing and US bond yields trending decrease, he sees a better likelihood of optimistic weekend efficiency.

“Given now we have had the dangerous information (as beneath re tariffs) and US 10Y yields are presently down on the week (and really importantly beneath 4.5%), I feel this weekend will likely be totally different.”

Market setup factors to restoration

Kendrick analyzed Bitcoin’s day-of-week efficiency in 2024, noting that Mondays and Fridays have usually been the strongest buying and selling days.

In distinction, weekend classes have been lackluster, probably exacerbated by decrease liquidity and risk-off sentiment amongst merchants.

He recommended {that a} small optimistic catalyst over the weekend might immediate renewed ETF inflows on Monday, serving to Bitcoin get away of its current buying and selling vary. Kendrick famous:

“A small optimistic over the weekend can result in ETF shopping for Monday after per week of ETF outflows.”

He added that Bitcoin might then take a look at key psychological ranges at $100,000 and $102,500 since it’s a “Giffen good in any case,” referencing the financial idea the place demand will increase as costs rise.

Regardless of current weak spot, Bitcoin has remained in an uptrend, gaining greater than 20% year-to-date.

Tariff uncertainty

Past Bitcoin’s technical outlook, Kendrick additionally mentioned broader macroeconomic developments, significantly the influence of US inflation knowledge and shifting expectations round former President Donald Trump’s potential insurance policies.

US Treasury yields declined following a softer-than-expected Shopper Worth Index (CPI) report earlier within the week and a weaker-than-expected Producer Worth Index (PPI) studying on Feb. 14.

The ten-year Treasury yield, which traders carefully watch as a gauge of borrowing prices and threat urge for food, remained beneath 4.5%, a degree Kendrick sees as constructive for digital property.

Based on the analyst:

“If newest headlines are to be believed, we’re previous dangerous Trump from a tariff perspective, with reciprocal tariffs solely taking impact April 1.”

He additionally recommended that optimism round a possible Russia-Ukraine peace deal might additional shift market sentiment. He famous:

“On the prospect of a Russia-Ukraine peace deal, we could also be lastly transferring from dangerous Trump to good Trump so far as threat property are involved.”

Kendrick reiterated his bullish stance on Bitcoin, suggesting that if these macro elements maintain, the crypto might be on observe to hit $102,500 within the close to time period.

Primarily based on CryptoSlate knowledge, Bitcoin was buying and selling at $97,348 as of press time, up 2% over the previous 24 hours.

The publish StanChart optimistic about Bitcoin breaking streak of crimson weekends appeared first on CryptoSlate.