According to The Block, QCP Capital, a Singapore-based crypto asset trading company, pointed out in a report released today that as inflation data slows down, the market’s bullish sentiment towards risk assets and the continued growth of institutional demand may drive Bitcoin (BTC) ) price returns to its all-time high of $74,000 in the coming days.
After the U.S. Bureau of Labor Statistics released the Consumer Price Index (CPI) for April, it promoted the rise of risk assets such as U.S. stocks and cryptocurrencies. As a result, Bitcoin recovered to $66,000 for the first time since April and recorded its largest trade since March. daily increase.
Traders at QCP said:
“We expect there will be bullish momentum here that could take us back to highs near $74,000. Amid the rising spot price action, the trading market saw large buyers of $100K to $120K worth of Bitcoin calls. Institutional demand for Bitcoin continues to grow, with large asset managers Millennium and Schonfeld investing approximately 3% and 2% of their assets under management in Bitcoin spot ETFs respectively.”
At the same time, some analysts cited on-chain and exchange data to say that the selling pressure on Bitcoin seems to have eased. Analysts at CryptoQuant shared in a report on Thursday:
“Short-term Bitcoin holders are essentially selling at zero profit, while traders have exhausted their unrealized profits over the past few months. Stable Bitcoin balances on OTC platforms indicate that through these The supply of Bitcoin coming into the market for sale by entities has decreased.”
Additionally, the U.S. Spot Bitcoin ETF recorded a net inflow of $302.97 million yesterday, the largest net inflow since May 3.
QCP Capital said that weakening inflation, Chicago Mercantile Exchange Group (CME) plans to launch Bitcoin spot trading, significant adoption by sovereign countries and institutions, and the upcoming U.S. election will all serve as fuels for further Bitcoin gains.
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