According to TechFlow, QCP Capital released the latest market analysis. The report pointed out that the latest US CPI data was in line with expectations, with the core CPI rising slightly to 0.3% month-on-month, higher than the estimated value of 0.2%.
This raises the probability of a 25 basis point rate cut by the Federal Reserve to 85%, the highest in a month.
In the cryptocurrency market, Bitcoin rebounded from an intraday drop to re-enter $57,000, showing strong demand and an increasingly bullish outlook.
This is also reflected in options market activity, with increased demand for call options expiring in October to December. Bitcoin volatility fell 12 points this week, mainly affected by the CPI release and the presidential debate. With no major macro events in the near future, QCP Capital expects volatility to fall further before the FOMC meeting next week. The company believes that the market is gaining momentum considering positive economic events such as the upcoming rate cut and the US presidential election.
