QCP Capital: BTC And ETH Hold Steady As Investors Await US CPI And PPI Data Ahead Of Federal Reserve’s Rate Cut Decision
In Brief
QCP reports that despite weak US jobs data raising rate cut expectations, Bitcoin and Ethereum remain steady, with the crypto market largely consolidating ahead of upcoming CPI releases.
Singapore-based digital asset firm QCP Capital released an analysis of the cryptocurrency market, observing that equity futures have continued to climb following a weaker-than-expected US Nonfarm Payrolls (NFP) report. The August data showed only 22,000 jobs added, well below the consensus forecast of 75,000, confirming a deteriorating employment trend that began in June when a 53-month streak of consecutive job growth ended. Two-year US Treasury yields have fallen to yearly lows as markets price in approximately 72 basis points of rate cuts for the remainder of the year.
According to QCP Capital, despite stronger performance in equities and gold, this momentum has not translated into the digital asset sector, where cryptocurrencies have been trading largely sideways. The muted activity has been interpreted by some as bearish, with increasing demand for downside protection in the form of put options, particularly for September expiries. Others, however, view the consolidation as a sign of resilience, noting that Bitcoin has remained above $110,000 despite being excluded from the S&P 500 last Friday, while Ethereum has held above $4,250 even after five straight days of spot exchange-traded fund (ETF) outflows.
QCP Capital noted that the absence of clear direction may reflect caution as markets await Thursday’s US inflation report. Front-end implied volatility remains elevated and is expected to stay high until after the Consumer Price Index release. A CPI reading above the expected 0.3% could complicate the Federal Reserve’s rate-cut trajectory, though a temporary rise driven by tariffs would be unlikely to prompt an escalation, as trade tensions are expected to remain contained given the current economic backdrop. Barring short-term reactions to this week’s economic data, the crypto market appears to be supported, though lacking immediate catalysts for a decisive move.
The firm pointed out that key data releases this week include the US Producer Price Index (PPI) on Wednesday, followed by PPI and unemployment claims on Thursday.
Bitcoin Surges Above $112,000, ETH Trades Around $4,300
At the time of writing, Bitcoin is trading at $112,040, reflecting a 0.71% increase over the past 24 hours, with intraday lows of $110,693 and highs of $112,137. Ethereum is currently priced at $4,309, up more than 0.2%, reaching a low of $4,275 and a high of $4,333 within the same period.
The total global cryptocurrency market capitalization stands at $3.87 trillion, representing a 1.06% rise in the last 24 hours. Trading volume across the crypto market over this period reached $110.77 billion, marking a 32.49% increase. Bitcoin’s market dominance is 57.66%, showing a slight decrease of 0.19%, according to CoinMarketCap data.
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About The Author
Alisa, a dedicated journalist at the MPost, specializes in cryptocurrency, zero-knowledge proofs, investments, and the expansive realm of Web3. With a keen eye for emerging trends and technologies, she delivers comprehensive coverage to inform and engage readers in the ever-evolving landscape of digital finance.
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Alisa, a dedicated journalist at the MPost, specializes in cryptocurrency, zero-knowledge proofs, investments, and the expansive realm of Web3. With a keen eye for emerging trends and technologies, she delivers comprehensive coverage to inform and engage readers in the ever-evolving landscape of digital finance.
