According to Odaily Planet Daily, QCP Capital published an analysis that BTC's rebound to $65,000 may be related to Mt.Gox's postponement of repayment until October 2025. Although there may be many factors that can explain the current trend, if you look at the historical price trend, this is a rather interesting moment. It is mid-October, and there are only three weeks until the US election.
Looking back at 2016, BTC was trading in a very tight range for over 3 months, only to start rallying three weeks before the US election day. Similarly, in 2020, BTC was stuck in a boring range for half a year, only to start rallying three weeks before the US election day. October has been pretty disappointing so far, with BTC up just +1.2% compared to an average of +21%.
● CoinShares report: Digital asset investment products have a net inflow of US$407 million
According to TechFlow, on October 14, CoinShares' latest weekly report showed that digital asset investment products had a net inflow of US$407 million last week, mainly affected by the upcoming US election rather than the outlook for monetary policy.
Polls shifted in favor of the Republican Party after the US Vice Presidential debate, which is considered more supportive of digital assets, leading to inflows and price increases. The United States contributed $406 million in inflows, and Canada received $4.8 million. Bitcoin was the main beneficiary, with inflows of $419 million, while short-term Bitcoin investment products had outflows of $6.3 million. Multi-asset investment products saw inflows for the 17th consecutive week, but only $1.5 million. Ethereum continued to see outflows, with $9.8 million last week. Blockchain stock ETFs saw one of the largest weekly inflows this year, totaling $34 million, which may be a reaction to the recent rise in Bitcoin prices.
● Monochrome launches Australia’s first Ethereum spot ETF on Cboe
According to Odaily Planet Daily, Monochrome Asset Management is preparing to launch Australia's first Ethereum spot ETF on Cboe. Monochrome Ethereum ETF (IETH) will start trading on Monday. The company launched the Bitcoin ETF (IBTC) in August 2023 with a scale of US$10.1 million. The fund is positioned as the world's first fund to provide physical Ethereum subscription and redemption.
The company's CEO Jeff Yew said this feature can improve tax efficiency. The dual-access bare trust structure is designed to prevent capital gains tax events, allowing long-term crypto industry participants to transfer Ethereum into the corresponding Monochrome ETF without triggering changes in legal and beneficial ownership, and giving investors absolute rights to their allocated Ethereum.
According to Odaily Planet Daily, Goldman Sachs analysts said in a report to clients that as the Federal Reserve is about to start the expected interest rate cut cycle, the allocation of funds by American households to the stock market will only "slightly" shift from credit to stocks. The Federal Reserve slashed interest rates by 50 basis points last month to a range of 4.75% to 5.00%, and more rate cuts are expected before the end of this year. "Stable interest rates close to 4% suggest that investors will continue to have more attractive alternative investments than stocks, but to a lesser extent than in the past few years," Goldman Sachs analysts wrote.
● US stock earnings season begins, financial leading companies are on the rise
Tokyo stocks resumed trading after a holiday on Monday, with futures pointing to a gain of more than 1%, Bloomberg reported. Sydney and Hong Kong stocks were expected to post small gains. U.S. corporate earnings season unofficially kicked off last Friday, with financial giants leading the way.
Preliminary third-quarter earnings reports showed strength for U.S. businesses. Debt underwriting, mortgage applications and refinancing activity surged, and manufacturing showed signs of bottoming, easing pressure on interest rates.
The BofA team said it maintains a positive outlook on U.S. stocks, with supporting factors including healthy economic and profit growth, the Federal Reserve's easing cycle and the AI growth story.
● Fed Waller: Economic data shows that the pace of interest rate cuts should be more cautious
According to PANews, Federal Reserve Board Governor Waller said that recent economic data shows that policymakers may not have to be as urgent as they were at last month’s meeting when dealing with subsequent interest rate cuts.
Waller told a conference at the Hoover Institution in Stanford, California, that the overall data suggested monetary policy should be more cautious in the pace of rate cuts than it was at its September meeting.
He added that if current economic conditions persist, "we can move policy toward a neutral stance at a measured pace." The neutral policy rate is one that neither boosts nor suppresses economic growth.
Waller also said recent data, including an upward revision to growth and an increase in job openings, suggest the slowdown may not be as deep as expected. His base case is for gradual rate cuts next year. The Fed will make its next rate decision at the end of the FOMC meeting on Nov. 6-7.
Waller declined to provide details on the "gradual" pace of rate cuts during the question-and-answer session.
● Fed Kashkari: Further "modest" rate cuts appear appropriate
According to ChainCatcher, Fed Chairman Kashkari said further "modest" rate cuts appear appropriate. Recent employment data shows that the labor market has not weakened rapidly. The degree of restrictiveness of monetary policy is unclear. The job market remains strong.
