United States Unemployment Claims Report And CPI Data Release May Propel Bitcoin To New All-Time High, Says QCP Capital
In Brief
QCP Capital anticipates the US unemployment claims report, CPI release, and market speculations regarding rate cut to drive Bitcoin’s ascent.
Singapore-based cryptocurrency trading firm QCP Capital has released its latest analysis, highlighting potential market catalysts for Bitcoin. The company anticipates that the upcoming United States unemployment claims report, which is expected to be lower than projected, along with next week’s CPI release, could drive Bitcoin to reach a new record high. Additionally, market speculations regarding the likelihood of a rate cut may further contribute to Bitcoin’s ascent.
On Wednesday, the Bank of Canada became the first major central bank to lower interest rates this year, implementing a quarter-point reduction to 4.75%. Market analysts anticipate that the European Central Bank will follow suit later in the week, also reducing rates by a quarter-point to 4.25%.
QCP Capital also observed that spot Bitcoin exchange-traded funds (ETFs) experienced another robust day, with over $488 million in net inflows–all 11 funds either saw net inflows or maintained zero flows, continuing the trend from the second-highest daily net inflows recorded on Tuesday. Additionally, the desk observed increased call buying overnight, focusing on the 100,000 strike in July.
Bitcoin is currently priced at $71,049, showing a decrease of nearly 0.07% within the past 24 hours. During this period, the cryptocurrency reached lows of $70,451 and highs of $71,675. As of the writing time, Bitcoin’s dominance stands at 53.13%, experiencing a slight decrease of 0.08% over the day, as reported by data from CoinMarketCap.
SEC Caution On ETFs Approval Delays Ethereum’s Momentum
Meanwhile, Ethereum’s performance lags behind, attributed to Securities and Exchange Commission (SEC) Chairman Gary Gensler’s statement regarding the approval process for S-1 forms related to spot Ethereum ETFs. Gary Gensler mentioned that the approval of these forms, which disclose details about the proposed fee structure of the asset management company, “will take some time.” With the delay in S-1 approval, QCP Capital predicts that Ethereum will continue to underperform in the short term. However, the firm predicts Ethereum will eventually outperform Bitcoin once the ETFs begin trading.
ETH briefly surpassed Bitcoin in performance after the SEC approved 19b-4 forms for eight spot Ethereum ETFs from various companies, such as BlackRock, VanEck, Ark Invest, and Fidelity, among others, on May 23rd. However, for trading to commence, the potential issuers of Ethereum ETFs still need their S-1 registration statements to become effective.
At the time of writing, the price of the second-largest cryptocurrency by market capitalization stands at $3,832, showing a 0.60% increase over the past 24-hour period. According to data from CoinMarketCap, its 24-hour lows and highs are $3,788 and $3,880, respectively.
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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.
