ChainCatcher news, QCP Capital's latest analysis pointed out that China's stock market rebounded weakly after the long holiday, and the government failed to launch new economic stimulus measures. The MSCI Asia Pacific stock index recorded the biggest drop in a month. The US stock market also fell overnight, mainly affected by large technology stocks and geopolitical tensions, and the VIX index rose to 22 points.
The volatility of the cryptocurrency market remains stable, with the recent implied volatility at 43%, 3 percentage points lower than the 7-day historical actual volatility. Earlier, Bloomberg reported that Chinese investors may sell USDT to finance stock purchases since the end of September, while the price of Bitcoin remains stable. As the rebound in China's stock market weakens, it is expected that funds may be reallocated to the cryptocurrency market, reflecting the growing maturity of the crypto industry as another risk asset.
QCP believes that the stock market may face downside risks in the short term due to the upcoming earnings season and CPI data release, which may challenge its high valuations. Geopolitical tensions further increase market uncertainty. QCP remains optimistic in the medium term and expects election-related news to continue to drive the cryptocurrency market.
