QCP Capital: The upcoming PPI and CPI data may pose upward risks, and the Bitcoin options market shows cautious sentiment

ChainCatcher news, QCP Capital's latest analysis indicates that the global market is digesting the impact of the adjustment in the Federal Reserve's interest rate cut expectations. The 10-year U.S. Treasury yield surged to its highest level since the end of 2023 at 4.8%, with the market not expecting any rate cuts until at least October. Stock index futures opened down 1.5%, causing Bitcoin to briefly drop below $90,000, before rebounding to above $95,000.

QCP Capital expects that the upcoming PPI and CPI data may present upward risks. The market is adapting to the reality of a prolonged high-interest-rate environment, with some investors even considering the possibility of rate hikes. The Bitcoin options market shows cautious sentiment, with investors rolling over put options below the $90,000 support level, while near-month volatility and butterfly spreads remain elevated, and the VIX index stays at 18.68, suggesting that market volatility may persist into January.

The report also notes that Trump may sign an executive order on his first day in office to address the issue of "de-banking" and repeal the controversial cryptocurrency accounting policy, which could bring positive catalysts to the market.