Analysts believe the market reaction to the situation in Venezuela may be limited, and Bitcoin prices are likely to remain strong.
TL;DR
Despite US-Venezuela tensions, Bitcoin held strong near $90,000, with analysts noting its stability above key support levels and predicting limited market impact from the situation.
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[Analysis: Market Reaction to Venezuela Situation May Be Limited; Bitcoin Price Remains Strong] According to Mars Finance, despite the escalating geopolitical tensions between the US and Venezuela early Saturday morning, Bitcoin prices remained strong, stabilizing around $90,000. BTC briefly dipped below $90,000 on Saturday but quickly rebounded above it. Market analyst Michaël van de Poppe pointed out that BTC prices are currently above the 21-day moving average, and if they can maintain this short-term support level, it means prices may continue to rise in January. It is noteworthy that BTC has remained stable despite recent geopolitical shocks, which is significant because risk assets, including Bitcoin, typically experience sudden declines during geopolitical crises or macroeconomic headwinds. Jamie Cox, managing partner of the Harris Financial Group in Virginia, stated that the overall market reaction to the Venezuela situation may be limited, and we may receive some market-influencing news during Sunday's OPEC meeting.