Inflation in the US decreased slightly compared to last month. Consumer Price Index (CPI) increased by 3.4% on an annual basis in April. This rate was at 3.5% the previous month. CPI data points to a potential downward trend in the cost of living, raising expectations for a Fed interest rate cut.

Other central banks such as the Bank of England (BOE) and the European Central Bank (ECB) are also expected to cut interest rates in June. This indicates that market liquidity for risky assets, including cryptocurrencies, will improve.

Bitcoin, like other risky assets, is affected by changes in monetary policies of major central banks. When the cost of borrowing fiat money is expected to fall, Bitcoin usually rises.

On the other hand, Salim Ramji, one of the former Blackrock executives, was appointed as the new CEO of Vanguard. Due to Ramji’s positive outlook on Bitcoin and blockchain technology, industry speculation began as to whether Vanguard would offer spot Bitcoin ETFs under his leadership. However, Ramji stated that Vanguard intends to maintain consistency with its investment philosophy and product line.

In response to the recent rise in Bitcoin, the public has generally reacted positively. Andrew Tate, known for his controversial statements, has strongly expressed his desire to fully embrace Bitcoin, moving away from traditional fiat pieces.

Tate tweeted that he had moved more than 100 million money to BTC, stating that he had lost confidence in traditional banking systems and saw Bitcoin as a safer and more reliable store of value.

There is also an increasing interest and participation in Bitcoin on the institutional investor side. ETF analyst Eric Balchunas, known for his views on Bloomberg, noted the diversity of institutional investors participating in the spot Bitcoin ETF IBIT. IBIT reported 414 investors in its first 13F filing season, a number typically achieved years after a product launches.

Simply put, a 13F filing is a report that institutional investment managers must file with the Securities and Exchange Commission (SEC). This report discloses their holdings in publicly traded companies and provides insight into their investment strategies. The fact that IBIT has attracted so many institutional investors so early is a strong indication that institutional interest in Bitcoin is growing.

On the other hand, Anthony Scaramucci, founder of SkyBridge Capital, notes that skeptics are now embracing Bitcoin for the long term after extensive research, suggesting a cycle of increasing acceptance among mainstream investors.

In fact, some segments of the cryptocurrency community predict that the third and fourth quarters of 2024 will be quite productive in terms of price gains for Bitcoin.