Bitcoin (BTC-USD) has jumped by over 10% in the past five sessions as regional bank jitters once again spooked investors. This time around, the woes at New York Community Bancorp (NYSE:NYCB) are helping make the case for cryptocurrencies as a haven of safety. Additionally, concerns are gradually rising that the troubles in China’s property market could slowly spill over to other markets. This chain of events comes at a time when the U.S. Fed decided to keep rates steady, and geopolitical troubles continue to brew.
But, there could be two key catalysts that could propel BTC and other major cryptocurrencies, such as Ethereum (ETH-USD) and Solana (SOL-USD), even higher over the coming months.
First, the Bitcoin halving in April will make it harder to mine new Bitcoins. Companies such as HIVE Digital (NASDAQ:HIVE) (TSE:HIVE) have been preparing for this event for a while now by hoarding as much BTC as they can and boosting their mining capacity.
Second, a significant chunk of the human population on this planet will be going to the polls this year. That means an added dose of uncertainty, wild gyrations in the equity markets, and in today’s world, ratcheting up the rhetoric towards stifling global trade.
Still, while the picture looks promising for Bitcoin, the crypto bellwether’s price is once again at a critical point of resistance. It has sharply retreated from the $47,000-$48,000 zone in January 2024 and March 2022. Significant buying volumes may be needed before it can firmly rise above this level.
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