Bitcoin rallies as stock markets decline. Here’s why

Bitcoin’s (BTC/USD) recent growth stems from its appeal as a store of value, Bitcoin ETF speculation, continued institutional inflows into the crypto market, and positive seasonality according to experts. Here’s a detailed look at these factors.

Institutional inflows

Venture capitalists and institutions are pouring money into crypto despite bearish price trends in the not too distant past. Shiliang Tang, CIO of crypto hedge fund LedgerPrime, told CoinDesk:

According to ByteTree Asset Management, Canadian and European ETFs as well as North American closed-ended funds have accumulated over 3,000 Bitcoin in the past month. Jeff Dorman, CIO at Arca Funds, believes the rallies of the broader crypto market are:

Protects against inflation

Carlos Betancourt, co-founder of BKCoin Capital, said:

A survey by the New York Federal Reserve predicted rising inflation for ten months in a row, reaching 5.2% in August 2022. In the EU, inflation growth is increasingly being predicted as well.

Max Boonen, founder of crypto market-making firm B2C2, commented:

ETF Speculation

The Bitcoin market is also being driven by expectations that SEC will finally approve a futures-based ETF. Betancourt added on that note: