- Federal Reserve Chairman Jerome Powell finds cryptocurrency a replacement for gold rather than for the dollar.
- Analyst Ben Lilly has also reported key events that might set Bitcoin’s price forecast for the coming days.
Meanwhile, in a webinar held by the Bank of International Settlements (BIS) on Monday, Powell talked about cryptocurrency. Specifically, in the discussion, he emphasized on Bitcoin. He felt that digital assets like Bitcoin are highly volatile. Hence, claiming that they are not useful as a store of value.
On this note, he went on and said that crypto assets are not even backed by anything. They are more of an asset for speculation.
It’s more a speculative asset that’s essentially a substitute for gold rather than for the dollar.
Analyst Ben Lilly also published a report highlighting key events that might set Bitcoin’s price forecast for the upcoming days. Lilly believes that Powell’s intervention has taken into account the recent concern of institutions in cryptocurrency.
Hence, he considers that the possibilities of Bitcoin being banned is decreasing. This boosts value for digital assets in the long-term. Due to loss of people’s faith in the current global reserve currency, crypto retains its capacity to maintain trading power.
According to Lilly, the Fed chairman has two further appearances during the week. Therefore, he expects subsequent publications to continue to impact the traditional market’s execution and the Bitcoin price.
Following on the macro outlook for Bitcoin, Lilly believes the bull market still has a long way to grow. Citing data from Glassnode, the percentage of active BTC supply over a year is about 56%.