According to The Block, Geoff Kendrick, head of digital asset research at Standard Chartered Bank, attributes the recent downturn in Bitcoin to the overall pressure on risk assets, rather than issues inherent to Bitcoin itself.
Kendrick stated in an email on Tuesday:
Kendrick believes that Bitcoin’s recovery may depend on two potential catalysts: a revival of overall risk assets or positive news related to Bitcoin, such as government purchases of Bitcoin by the United States or other countries.
Regarding risk assets, Kendrick pointed out that clarifying tariff policies or a swift interest rate cut by the U.S. Federal Reserve are necessary conditions for recovery. He explained, “If the Federal Reserve moves quickly to cut interest rates, and the market believes that the probability of a rate cut at the May meeting increases from the current 50% to 75%, it could trigger a rebound.”
The next FOMC meeting will take place on March 19, Eastern Time. The FedWatch tool from the Chicago Mercantile Exchange (CME) indicates a 97% chance that the Federal Reserve will keep interest rates unchanged next week, and a 59.8% chance of maintaining the rate in May.
However, Kendrick warned that if the downward trend in Bitcoin continues, a drop below the $76,500 level could quickly lead Bitcoin to test support around $69,000.
Kendrick also reaffirmed his long-term bullish outlook, predicting that Bitcoin will reach $200,000 by the end of 2025. He wrote:
Related report: Standard Chartered Analyst: Bitcoin Price Will Rise to $500,000 Before Trump Leaves Office
