● Fed's Goolsbee: Unemployment rate rises but remains low
According to BlockBeats, on September 23, Fed Chairman Goolsbee said that the unemployment rate is trending upward, but the level is still low.
According to Odaily Planet Daily, Kashkari of the Federal Reserve said that the Federal Reserve is expected to take smaller interest rate measures in the future. The 50 basis point interest rate adjustment of the Federal Reserve is an important step in promoting economic recovery. There is a lot of uncertainty about the neutral interest rate level, and the Federal Reserve policy is still in a net tightening state.
● Only 5.91% of the total Bitcoin supply can be mined
According to Foresight News, HODL15Capital monitoring data shows that 19,757,900 of the total 21 million bitcoins have been mined, leaving only 5.91% of the remaining bitcoins to be mined.
● QCP: Mainstream CEX funding rates have improved, and the market may rise further
According to BlockBeats, QCP released a daily view that Harris's victory in this election may not be as bearish as the market thinks. In order to win the votes of cryptocurrency users, Harris promised to help the cryptocurrency industry develop at a fundraiser last weekend. This is another move after Anthony Scaramucci and other cryptocurrency supporters formulated crypto policies for her campaign. Harris's obvious pro-crypto attitude shift, coupled with macroeconomic tailwinds, got off to a good start for the crypto market this week, triggering a short position explosion of nearly $60 million.
Last week QCP mentioned that Bitcoin could rally 13.8% from the low of $57,500. Bitcoin has rebounded nearly 12% since last Monday and still looks to have further upside momentum. The front-end put skew that can be seen over the past month is starting to normalize, with more buyers high and sellers low entering the market over the weekend. Even funding rates on major exchanges are improving, with basis yields becoming relatively more attractive amid falling interest rates.
● CoinShares: Digital asset investment products had a net inflow of $321 million last week
According to PANews, CoinShares' latest weekly data shows that digital asset investment products saw net inflows for the second consecutive week last week, totaling $321 million. This surge is likely due to the more dovish-than-expected comments from the Federal Open Market Committee (FOMC) last Wednesday, including a 50 basis point rate cut. As a result, total assets under management (AuM) increased by 9%. Total investment product trading volume reached $9.5 billion, up 9% from the previous week.
Bitcoin was the main focus, attracting $284 million in net inflows, but recent price volatility also prompted $5.1 million in net inflows to short Bitcoin investment products. Ethereum remained an outlier, seeing net outflows for the fifth consecutive week, totaling $29 million last week. This was due to continued outflows from the existing Grayscale Trust and minimal inflows from newly issued ETFs. Meanwhile, Solana investment products continued to see small but steady weekly net inflows, totaling $3.2 million last week.
According to PANews, according to correlation studies, the linkage between digital assets and the US stock market has almost reached an all-time high. Bloomberg data shows that the 40-day correlation coefficient between the 100 largest digital assets and the S&P 500 index is about 0.67, which was only exceeded in the second quarter of 2022, when it reached 0.72. Last week, the Federal Reserve cut interest rates by 50 basis points, kicking off the expected monetary easing cycle.
Caroline Mauron, co-founder of Orbit Markets, said that macro factors are currently driving cryptocurrency prices higher, and this trend should continue throughout the Fed’s easing cycle unless there is a crypto-specific black swan event.
