QCP Capital analysts claim that cryptocurrency needs a “more significant catalyst” than Trump’s statement on bitcoin in 2024

  • Analysts claimed that a bigger significant catalyst is required for the cryptocurrency market to see a significant breakout than Donald Trump’s Bitcoin 2024 address.
  • Without the emergence of a significant trigger, analysts predict that Bitcoin will continue to trade in a narrow range.

For the cryptocurrency market to have a significant breakout, economists believe there needs to be a bigger catalyst than former US President Donald Trump’s Bitcoin BTC -3.92% 2024 statement.

Trump’s speech was in line with industry forecasts, but a bigger catalyst would be needed for the market to see a substantial breakout. When promises and programs are more clearly defined, closer to the US elections, this catalyst may materialize, according to analysts at QCP Capital.

The analysts went on to say that it is possible that bitcoin would continue to trade in a range because it did not break through its all-time high despite Trump’s upbeat statements at the conference on Saturday in Nashville.

The price of bitcoin might stay in a narrow range

Analysts at Bitfinex cited the rise in leveraged holdings and a recent decline in options indicated volatility in the bitcoin market as additional signs that the digital asset would be range-bound in the near future.

The possibility of monetary policy softening, according to Bitfinex analysts, might serve as a major support for the price of bitcoin and perhaps generate upward momentum.

They said that prices have climbed modestly as lower costs of products have countered higher costs of services, easing inflation pressures and increasing the likelihood of a September interest rate cut by the Federal Reserve.

The cryptocurrency market rises with stocks

The cryptocurrency market saw increases on Monday, while equity indices also started the week favorably. Early trading saw gains of 0.20% for the S&P 500 and 0.67% for the Nasdaq. In tandem with the rise in equities markets, the global cryptocurrency market saw a 0.6% increase in value over the previous day to reach a market valuation of $2.55 trillion.

Recently, there has been a trend for bitcoin and the cryptocurrency market as a whole to favorably correlate with equity markets, especially the tech-heavy Nasdaq. According to Justin d’Anethan, Keyrock Head of APAC Business Development, Bitcoin is starting to behave more like a macro asset, which could indicate a change in the cryptocurrency’s place in the larger financial system.

Disclaimer : This article was created for informational purposes only and should not be taken as investment advice. An asset’s past performance does not predict its future returns. Before making an investment, please conduct your own research, as digital assets like cryptocurrencies are highly risky and volatile financial instruments.

Author: Lalit Mohan

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