Bitcoin managed to surge to around $68,000 and this rise was driven by positive global market sentiment, including hopes that geopolitical conflicts can be defused without affecting the world's main oil routes.
At the time of writing, the price of Bitcoin is currently at $68,228, up 0.06% since it opened early Wednesday in Asian trading.
However, despite these exciting figures, the reality is much more complex and the true market sentiment is not as rosy as the figures show.
Despite the price increase, data from the derivatives market shows that professional investors are still cautious.
Futures contract premiums remain low, indicating that demand for bullish positions is still weak.
At the same time, 'put' (sell) options are more expensive than 'call' (buy), a clear indication that many expect the risk of a price drop.
Pressure also comes from global economic factors.
High oil prices are increasing inflation concerns, thus reducing the possibility of a cut in interest rates in the United States.
In a high interest rate environment, investors are more likely to choose safe assets over risky assets like Bitcoin.
Although the issue of quantum computer threats has sparked concern, it is not the main factor because the technology is still far from reality.
Bitcoin is still seen as a risky asset, not a safe haven because even though the price rises, confidence does not follow suit.
