There will be no shocks on the crypto market on Friday

On Thursday, Joe Biden pushed the bitcoin rate towards$ 35,000. Not news regarding Paraguay's legalization bill. The deputies of the South American country will vote only on July 14 and the chances of his approval, you need to be aware, are small.

Important news from Washington.The American president agreed to the parameters of a bipartisan agreement on additional investment in infrastructure. The proposal would cost $973 billion over five years or $1.25 trillion over eight years and would worsen the US budget deficit and debt asThe proposed tax increase does not meet with support among Republicans. 

This kind of political economy has to do with cryptocurrencythe most direct relation to the market. The implementation of the initiative will support an exorbitant budget deficit of 7.3% for a non-war period and will push for further growth of the national debt, the limit stipulated by the Congress on which can be reached already this August.

Nothing bad will happen –legislators will raise it this time too, again casting doubt on the value of the reserve currency, which once prompted Satoshi Nakamoto to create Bitcoin… In practical terms, the US stock market yesterday reached new record highs, which supported buyers of the first cryptocurrency now perceived more as a risky asset.

On Friday there will be no shocks in the crypto market.Expiration of contracts on the derivatives market with a nominal value of $2.37 billion will take place – The greatest open interest in puts is concentrated at the strikes $35,000 and $40,000. The latter is unattainable in light of recent events, and large players are quite capable of keeping prices close to the first benchmark. 

Scenario for a rise to $37 000 and aboveremains relevant. Locally you can see a kind of inverted head and shoulders. Miner selling pressure has eased, reserves in stablecoins on exchanges (bullish factor) have broken a record – there are prerequisites for implementing the model. Over a longer period, the current upward movement will be perceived as an element of correction-consolidation with the risk of resuming downward dynamics in July-August.

At JPMorgan, for example, as a triggernoted the end of the six-month blocking period of the Grayscale Bitcoin trust at the junction of June and July. This fund has 645,600 BTC ($22.4 billion) on its balance sheet – six times more than MicroStrategy. It is quite possible that among the trust’s shareholders there are those who regret their purchases in light of the authorities’ campaign against the first cryptocurrency.

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