Investors will begin to seek out bitcoin | 23 Juli 2021

Investors will begin to seek out bitcoin


#WTI:


The group, which includes OPEC countries and allies like Russia, crucially agreed new production allocations from May 2022. From August until December 2021 the group will increase supply by a further 2 million bpd or 0.4 million bpd a month, OPEC said in a statement. The group had agreed to extend their overall pact until the end of 2022 from an earlier planned date of April 2022, to leave more room for maneuver in case global recovery stalls due to new virus variants. To overcome the disagreement, OPEC+ agreed new output quotas for several members from May 2022, including the UAE, Saudi Arabia, Russia, Kuwait and Iraq. This is a positive signal for oil prices!


Trading recommendation: Buy 70.02 and take profit 72.90.


 Investors will begin to seek out bitcoin


#SP500:


Over the first half of 2021, ongoing vaccinations in the United States have led to a reopening of the economy and strong economic growth, supported by accommodative monetary and fiscal policy. Real gross domestic product this year appears to be on track to post its fastest rate of increase in decades. Household spending is rising at an especially rapid pace, boosted by strong fiscal support, accommodative financial conditions, and the reopening of the economy. Housing demand remains very strong, and overall business investment is increasing at a solid pace. The fed continue to expect that it will be appropriate to maintain the current target range for the federal funds rate until labor market conditions have reached levels consistent with the Committee's assessment of maximum employment and inflation has risen to 2 percent and is on track to moderately exceed 2 percent for some time. This is a bullish signal for the U.S. stock market!


Trading recommendation: Buy 4302 and take profit 4395.


Investors will begin to seek out bitcoin


BTCUSD:


The soft monetary policy of the Federal Reserve will have a positive impact on the value of BTCUSD. The Federal Reserve will continue to increase its holdings of Treasury securities by at least $80 billion per month and of agency mortgage‑backed securities by at least $40 billion per month until substantial further progress has been made toward the Committee's maximum employment and price stability goals. This is a positive signal for banks and investment funds. In their hunt for yield, institutional investors will begin to seek out bitcoin and other cryptos.


Trading recommendation: buy 30000 and take profit 33100.

 

David Johnson
Analyst of «FreshForex» company
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