According to QCP Capital, the bear market for cryptocurrency is still expected to continue, and there remains the potential for new trends due to specific macroeconomic indicators.
Impact of U. S. Macroeconomic Conditions: Specific factors include the return of the U. S. equity market to new all-time highs thanks to the rebalancing of inflation that made investors more optimistic.
As QCP Capital has pointed out, the volatility of the crypto market depends on the prospects of the 2024 US elections.
The Singapore-based crypto entity QCP Capital does not share this bearish sentiment and remains bullish in cryptocurrency. According to the company, global macroeconomic factors are expected to drive up the prices of Bitcoin and other virtual currencies even higher by the end of the year. Despite this positive outlook, the digital asset industry is still reeling from a downturn. Leading coins like Bitcoin are struggling to achieve breakthroughs at specific price points.
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In an update posted on its Telegram channel, QCP Capital outlined several factors supporting its optimistic trend forecast. Some of the factors they pointed out include: For instance, one of the most important was the U. S. equity market, which is back into trading at an all-time high again. This recovery is attributed mainly to the easing of the inflation rate in the U. S. and the consequent improvement of market sentiment.
Current Market Conditions and Challenges
However, the favorable macroeconomic environment is challenging for the crypto market. Currently, Bitcoin is trading at $59,271, thus facing challenges to remain above the $60,000 mark price. Likewise, Ether (ETH), the second largest cryptocurrency by market capitalization, ranges between $2,800 and $3,000.
These price levels have been turned into crucial levels that signal the changes in the market by the traders and investors. Other factors that make the market more challenging include the political structure of the United States of America.
QCP Capital highlighted that the crypto market reacted to a recent conversation between Tesla CEO Elon Musk and the ex-U. S. President Donald Trump was held without mentions of cryptocurrencies. This absence and Trump’s continued backing of the digital asset industry, including his promise to replace Gensler with Marcy if he returns to the White House, has given traders something to ponder in the near term.
Looking ahead, QCP Capital sees a possibility of a rebound in the cryptocurrency market by the end of the year. According to the firm, traders should pay particular attention to macroeconomic analysis predictions and political occurrences expected to affect the market in the following months.
The post QCP Capital Sees Market Reversal: What Traders Should Watch For appeared first on Crypto News Land.
