There’s something fishy going on in the financial markets right now, and it could catch us off guard, sneaking in through the back door.
Since 2008, there hasn’t been a major crisis. It's been too many years without one. This has led many investors to become overly confident, with the feeling that nothing major is going to happen anymore.
The longer this feeling spreads, the worse it will be.
Some key central banks have already started cutting interest rates, and it is expected that they will continue to do so. Additionally, China has just injected liquidity into the market.
Real estate prices have never been higher, and despite this, buying continues at a strong pace, with many ignoring the high cost of mortgages.
If interest rates are lowered further and liquidity is injected, obviously housing prices should rise even more, and at a faster pace...
On the other hand, the lowering of interest rates and the injection of liquidity will fuel the stock market, which is also at historic highs...
And yet, the only market I see ready for a major rally is the cryptocurrency market. Starting in October 2024, Bitcoin's chart suggests it will break out of its flag formation on the weekly timeframe (which adds to the potential strength of the move).
And if Bitcoin rises, Altcoins will follow shortly after.
This, combined with rate cuts, liquidity injections, and global tensions, positions the crypto market as a safe haven where the world will start storing its money. This gives it tremendous upward potential, as only a small percentage of the global population currently owns cryptocurrencies.