QCP Capital: Bullish Market Outlook Unlikely Before Q3
In Brief
QCP Capital analysts note that while $80,000 remains key support for Bitcoin, upside potential is limited, with a bullish outlook unlikely before Q3.
Singapore-based cryptocurrency trading firm QCP Capital released a market analysis, noting that Friday’s Non-Farm Payroll (NFP) data provided some relief for both equities and cryptocurrencies, reinforcing expectations of further interest rate cuts in May. Bitcoin remained stable around the $86,000 level for most of Saturday, suggesting the potential for a steady recovery in the coming week. However, this momentum was disrupted when hackers responsible for the Bybit breach liquidated at least $300 million of their record-breaking $1.5 billion cryptocurrency theft during low-liquidity trading hours on Sunday. This sell-off contributed to renewed downward pressure on Bitcoin and Ethereum, pushing both assets toward critical support levels.
The ongoing price decline may also be driven by market participants preemptively selling in anticipation of further liquidations by the hackers. Since the stolen assets have already depreciated by 25%, the perpetrators appear to be prioritizing cashing out rather than holding onto their illicit funds. In response, options market activity has shifted, with increasing demand for put options over the past 24 hours, reflecting heightened concerns about additional selling pressure.
QCP Capital analysts highlight that while Bitcoin’s $80,000 level remains a key support in the near term, upward momentum appears limited, as the impact of the Strategic Bitcoin Reserve narrative has already been factored into the market. Recent options data suggests that a more optimistic bullish outlook may not take shape until the third quarter of the year.
Until a new catalyst emerges for the cryptocurrency market, Bitcoin is likely to maintain a stronger correlation with equities in the short term. Both asset classes are currently trading near recent lows, and with ongoing concerns over trade tariffs, market volatility could increase leading up to key US economic data releases, including the Consumer Price Index (CPI) on Wednesday and the Producer Price Index (PPI) on Thursday.
Bitcoin Drops To $82,000 Mark, Crypto Market Sees $685M In Liquidations Amid Heightened Volatility
At the time of writing, Bitcoin is trading at $82,345, reflecting a 3.71% decline over the past 24 hours. The cryptocurrency experienced a sharp drop from $85,465, reaching an intraday low of $80,126, according to data from CoinMarketCap. Market analysis from Coinglass revealed that approximately $272 million in Bitcoin positions were liquidated within the same period. Despite the price decline, Bitcoin’s market dominance increased by 0.07%, suggesting heightened volatility in the altcoin sector.
The broader cryptocurrency market also faced downward pressure, registering a 3.37% loss in overall value over the past day, bringing the total market capitalization to $2.71 trillion. Liquidations across the cryptocurrency market exceeded $685 million in the last 24 hours, highlighting the ongoing market turbulence.
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About The Author
Alisa, a dedicated journalist at the MPost, specializes in crypto, AI, 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 crypto, AI, 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.
