Bitcoin’s Rally No Mystery: Anthony Pompliano Breaks Down The Major Factors Fueling It
Within a short period of surging to a new all-time high, Bitcoin has become the topic of the day, prompting several well-known figures in the crypto landscape to share their takes on the crypto king. Anthony Pompliano recently addressed the performance of BTC while underlining key drivers behind the substantial growth.
Pompliano Brands Bitcoin “The Greatest Show On Wall Street”
Over the past few days, Bitcoin has witnessed a remarkable upward performance, breaking into uncharted territories. Renowned investor and Chief Executive Officer (CEO) of Capital Management, Anthony Pompliano, has dubbed BTC the “Greatest Show on Wall Street” after the recent ferocious surge that brought it back into the spotlight.
The Capital Management CEO made the bullish statement in a recent interview on the popular CNBC Squawk Box show. In comments that demonstrate how captivating the asset’s recent upward trends have been, Pompliano emphasized Bitcoin’s unparalleled capacity to take center stage and hold investors’ attention.
According to the founder, the reason behind his statement that Bitcoin is the greatest show on Wall Street is that “everyone wants the crypto king.” Furthermore, he stated that BTC is no longer a contrarian trade; it is a consensus trade. His statement is backed by the Spot Bitcoin Exchange-Traded Funds (ETFs), the BTC Treasury companies, retailers, and the Sovereign Wealth Fund, among others.
When asked about concerns regarding the notion that when economists and analysts have a consensus view on BTC, investors should go the other way, the CEO asserted that this is nothing to be afraid of. This is due to his claims that “economists do not like Bitcoin.”
Major Drivers Of BTC’s Powerful Rally
Financial circles are taking notice of Bitcoin’s remarkable rise, which has sparked more extensive discussions regarding its crucial position in the industry. Pompliano has broken down the potential triggers behind BTC’s substantial upside action.
The first driver mentioned by the CEO is the record inflows into the BTC Spot ETFs in recent weeks, highlighting the massive $1.2 billion capital flow witnessed on Thursday. BTC Spot ETFs have seen significant growth since their introduction, recording a net inflow of over $140 billion, with BlackRock’s fund valued at nearly $90 billion alone.
Another key factor pointed out is Bitcoin Options Expiry. After the options expired at the end of Q2, BTC saw a notable downward pressure, which appears to have served as a launchpad to the recent rally. Finally, the entrepreneur considers the significant liquidations of short sellers as a major part of BTC’s upsurge. As Bitcoin takes out short sellers, Pompliano claims that the flagship asset ultimately went into a price discovery phase.
According to the CEO, BTC entered a price discovery phase in November last year when the crypto king surged from its previous high $70,000 to $90,000 within 3 weeks. Pompliano has identified a possible similar trend following BTC’s break above the $110,000. As a result, he is confident that the asset could rally hard, potentially reaching the $140,000 price mark because it is now in a true price discovery phase.
Featured image from Pixabay, chart from Tradingview.com
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