Alyssa Davidson
Posted: Oct 3, 2024 10:33 AM Updated: Oct 3, 2024 10:33 AM
Correction and fact check date: October 3, 2024, 10:33 AM
briefly
QCP Capital noted that the current market weakness is likely temporary due to the strong correlation between cryptocurrencies and U.S. stocks.
Singapore-based cryptocurrency trading firm QCP Capital has released its latest market analysis, which indicates that the current market weakness is likely temporary due to the strong correlation between cryptocurrencies and US stocks. The analysis observed a recent sell-off, with BTC falling below $60,000 and ETH falling below $2,400. According to the company, BTC’s lower lows and lower highs suggest a near-term bearish trend.
However, QCP Capital believes that once U.S. stocks begin to recover, cryptocurrencies could also experience a rebound. This correlation suggests that macroeconomic factors have a major impact on current risk asset prices.
According to the company, the recent ADP employment report exceeded expectations, making the upcoming nonfarm payrolls report critical to confirming the strength of the U.S. labor market. The combination of expected interest rate cuts and a stronger labor market could give risk assets a boost.
Additionally, QCP Capital noted that despite tensions in the Middle East impacting Bitcoin during a traditionally strong month for cryptocurrencies, it views the decline as temporary and expects an “Uptober” rally to materialize.
Cryptocurrency markets are in a downward trend and Bitcoin and Ethereum prices are falling.
At the time of writing, Bitcoin is trading at $60,498, reflecting a decline of over 0.49% over the past 24 hours. During this period, the coin reached an intraday low of $60,031 and an intraday high of $62,233. Spot Bitcoin exchange-traded funds (ETFs) have experienced significant outflows totaling $91.76 million as of October 3, according to Sosovalue data.
Meanwhile, the price of Ethereum is currently at $2,350, down more than 3.49% in the last 24 hours. ETH’s intraday low was $2,324 and the intraday high was $2,471. The spot Ethereum ETF saw inflows of $14.45 million as of October 3, contributing to mixed market sentiment.
The current global cryptocurrency market capitalization is estimated at $2.1 trillion, down 1.28% from the previous day. Data from CoinMarketCap also shows that the overall market size declined 22.03%, reaching $93.68 billion.
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About the author
As MPost’s resident journalist, Alisa specializes in the broad areas of cryptocurrencies, zero-knowledge proofs, investing, and Web3. With a keen eye for new trends and technologies, she provides comprehensive coverage to inform and engage readers about the ever-evolving digital financial landscape.
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Alyssa Davidson
As a dedicated journalist at MPost, Alisa specializes in the broad areas of cryptocurrencies, zero-knowledge proofs, investing, and Web3. With a keen eye for new trends and technologies, she provides comprehensive coverage to inform and engage readers about the ever-evolving digital financial landscape.
more articles