Bitcoin (BTC), experienced its biggest rally to date in the month of May. On May 22, the price of bitcoin (BTC) reached a record high. BTC’s value has seen a minor correction since then. Since its peak in May, the asset’s price has dropped by 6.4%.
Bitcoin drops as BlackRock sells
BTC’s amazing rally in the last month is likely to be due to an increase in institutional investment. BlackRock is the largest asset management company in the world. They purchased BTC worth more than $3 Billion dollars.
Recent price drops could be attributed to the recent drop in institutional financing. Arkham data shows BlackRock bought BTC and then sold it to purchase Ethereum (ETH). Financial institution could have been apprehensive about upcoming volatility. Other market participants may have been scared off by the sell-off.
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BTC’s value is down 0.6% daily, 3% weekly, and 5.7% 14-day. The original cryptocurrency is still up by 10.8% in the last month, and has been 47% higher since June 2024.
Macroeconomic factors may also have been responsible for this dip. US-China Trade Negotiations have caused considerable uncertainty. Federal Reserve is yet to announce a rate reduction for 2025. If rates are cut, borrowing will become easier and more risky investment could increase. The Bitcoin (BTC), and larger crypto markets, could be impacted by a large rebound if rates are cut soon.
Massive Rally is Coming
Right now, buying the dip might make sense. Bitcoin (BTC), many believe, will gain in momentum during the coming months.
CoinCodex predicts that BTC’s price will rise over the next couple of months. According to the platform, BTC will hit an all-time record high on August 22, hitting $177.917. BTC will see a price increase of nearly 70% if the asset reaches $177,917.
Ark Investment CEO Cathie Wood says that Bitcoin (BTC), will experience a surge in price very soon. Wood’s belief is based on BTC’s scarcity. Wood had previously claimed that BTC might even reach $1.5 million.
BTC up to $1 Million
Wood isn’t the only one who thinks BTC will surpass the $1,000,000 mark. Changpeng Zhao is also a Binance co-founder who shares the same sentiment. CZ said in an interview that BTC may reach a peak of $500k to $1m this cycle.
Bitcoin (BTC), is one of the top-performing assets over the last 15 years. Original cryptocurrency outperformed commodities and major tech stocks. In the last couple of years, the crypto market has grown at an amazing rate. It was an important milestone when 11 BTC Spot ETFs were approved in 2024. The financial industry could now finally welcome the new crypto after many years of pushing it around.
Larry Fink of BlackRock, the CEO has even said that it is possible the US dollar will not continue to be the reserve currency in the long run. Fink wrote in 2025 to investors that Bitcoin and other digital currencies could one day become the reserve currency of the world. Fink’s words are incredibly powerful because BlackRock has the biggest asset management company in the entire world. Around $11 trillion in assets are under the firm’s management.
US President Donald Trump is also a proponent of a liberal approach towards the crypto-industry. Even his campaign for president was paid in Bitcoin (BTC). Trump stated he wanted the crypto industry in the US to thrive. A pro-crypto government could boost investor confidence. It’s possible that we are entering the bulliest phase in crypto history. BTC may soon surpass the $1,000,000 mark.
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Source: watcher.guru
