Market volatility

QCP Capital: Macroeconomic market volatility has eased, and Bitcoin still needs key catalysts to break through $100,000

ChainCatcher news, QCP Capital's latest analysis points out that Bitcoin recently faced $1.5 billion in long liquidations, with the price plummeting by 3,000 points before rebounding at the critical support level of $95,000, currently consolidating in the $97,000-$98,000 range. This round of correction has also affected many altcoins.In terms of institutional entry, Bitcoin and Ethereum spot ETFs recorded net inflows for 8 and 11 consecutive days, respectively. Mining company Riot Platforms announced it would follow MicroStrategy's strategy, planning to issue $500 million in zero-coupon convertible bonds to purchase Bitcoin, a plan that has already garnered strong market demand. Notably, Microsoft shareholders will vote today on incorporating Bitcoin into the balance sheet. Although the board recommends against it, approval could lead to an unexpected surge. Meanwhile, reports indicate that Amazon shareholders are also pushing for Bitcoin to be used as a reserve asset.QCP points out that with the political situation stabilizing in France and South Korea, and China's commitment to launching economic stimulus policies, macro market volatility has eased. Bitcoin and Ethereum's short-term volatility remains high and leans towards put options. Analysts believe that a breakthrough of the $100,000 threshold for Bitcoin still requires key catalysts.

"Trump deal" loses steam as investors question the feasibility of tariff proposals

ChainCatcher news, according to Jinshi Data, some asset class investors are gradually reducing their enthusiasm for the "Trump trade" as they question whether Trump will push his ambitious tariff proposals after becoming President of the United States. As of Thursday's close, the dollar has erased most of its post-election gains, and after two days of intense volatility, U.S. Treasury yields have returned to recent ranges. These moves indicate that as investors weigh whether Trump's policies align with his campaign promises, the market may experience fluctuations. As market turbulence settles, the focus is shifting to other significant events.Vishnu Varathan, the head of economics and strategy at Mizuho Bank Singapore, stated, "Even the most fervent 'Trump trade' investors are stepping back now and considering whether the stakes are too high at this point. Traders are thinking about the execution and how some of his policies will effectively disseminate." A key question for investors is how much of Trump's tariff measures will become a reality. Some are also taking profits, including bullish dollar and bearish Treasury trades, which performed well earlier this week due to expectations that Trump's policies would stimulate inflation and keep interest rates elevated.Alvin Tan, the head of Asia FX strategy at Royal Bank of Canada, said, "People are skeptical about whether Trump will really implement the policies he proposed, especially the tariff policies; however, this sentiment may be temporary, as the market underestimates Trump's influence on trade policy— the U.S. President has broad powers to impose import tariffs."

4E: This week focuses on PCE and non-farm data as well as earnings reports from tech giants, with the influx of data intensifying market volatility

ChainCatcher news, this week is a busy week for economic data. The Fed's favored inflation indicator PCE data, the October non-farm payroll report, and the Q3 earnings reports from Apple, Google, Microsoft, Meta, and Amazon will determine the market direction at the start of November.According to 4E monitoring, last week the three major U.S. stock indexes had mixed performances. Tesla's stock price surged, pushing the Nasdaq up about 0.9%, marking its seventh consecutive week of gains and just a step away from its historical high. The S&P 500 fell 0.3% last week, and the Dow Jones dropped 2.6%, both ending a six-week winning streak. The cryptocurrency market saw significant declines last week, with Bitcoin priced at $67,668, down 2.18% over the past seven days, and Ethereum at $2,490, nearly 10% lower over the same period.In the forex commodities sector, the dollar index approached a three-month high on Friday, rising 0.8% last week and marking its fourth consecutive week of gains, while political uncertainty led to a 1.9% decline in the yen last week. Due to the instability in the Middle East and the U.S. election, along with global central bank rate cut expectations, spot gold reached a historical high for three consecutive days last week before giving back some gains, but still ended the week up over 0.9%, marking its sixth consecutive week of increases. The tense situation in the Middle East has pushed both U.S. and Brent crude oil prices up over 4% for the week.Recently, the market has increasingly anticipated a soft landing for the U.S. economy, and this week's series of economic data will test investors' bets. On Wednesday, the U.S. Q3 GDP estimate will be released, followed by the September PCE data on Thursday, and the October non-farm report on Friday. With the policy meeting approaching, Fed officials have once again entered their routine blackout period, and the market widely believes there is a high possibility of a 25 basis point rate cut. The influx of data combined with the approaching U.S. election will intensify market volatility. eeee.com is a financial trading platform that supports assets such as cryptocurrencies, stock indices, commodities like gold, and forex, recently launching a USDT stablecoin financial product with an annualized return of 5.5%, providing investors with potential hedging options. 4E reminds you to pay attention to market volatility risks and to allocate assets wisely.
ChainCatcher Building the Web3 world with innovators