Analysis: Brent crude oil continues to stay above $100, and macroeconomic pressures may limit Bitcoin's upside potential.

BlockBeats news, October 23 - CryptoQuant analyst Darkfost stated in a post that Brent crude oil prices remain above $100 per barrel, influenced by ongoing tensions in the Gulf region and Ukraine's increased attacks on Russian refineries. Rising oil prices are transmitting to the global economy, driving up production, service, and commodity costs, further permeating inflationary pressures into the economic system and potentially increasing the risk of an economic slowdown, thereby constraining market liquidity, especially funds flowing into high-risk assets like Bitcoin.

Darkfost pointed out that from a long-term perspective, when Brent crude oil consistently stays above its annual average and enters a strong upward trend, BTC often shows slower performance; conversely, when oil prices fall significantly, BTC is more likely to experience a recovery. However, he emphasized that this does not mean there is a simple direct causal relationship between oil prices and BTC; what truly affects risk assets is the macroeconomic environment accompanying high oil prices. In July this year, oil prices briefly retreated, and BTC immediately seized the opportunity to rise, but Brent crude oil has since rebounded significantly. Although funds may still rotate among different markets, driving BTC to continue its upward trend, the current macroeconomic environment is not conducive to a sustained inflow of new liquidity into the market.