Short-term fluctuations continue, and BTC has risen above $60,000 again after the recent dip. However, sales have not subsided. Investors have not been able to escape the selling frenzy that has persisted since the March peak. Volumes are still weak, and risk appetite in altcoins has been significantly undermined. So, what do QCP analysts think?
QCP Analysts’ Crypto Commentary
BTC is at $60,270 as of the time of writing, and yesterday’s market close brought the latest NVIDIA data. The report, containing significant positive details, exceeded expectations and was expected to contribute positively to risk markets. Did it happen as expected? BTC experienced a slight increase and did not rise as much as anticipated.
QCP analysts wrote the following in their latest market assessment:
“Nvidia’s impressive earnings report last night triggered a classic “sell the news” reaction in the crypto markets today. As a result, Bitcoin fell to $59,000, and Ethereum is trading stagnantly around $2,500.
Front-end volumes rose overnight with the drop in spot but fell by about 10 vol from the peak after the Nvidia earnings report. Risk reversals until October are still skewed towards Puts in both BTC and ETH, indicating that the market remains cautious about the downside.
Ahead of next week’s non-farm payroll report, we expect market volatility to continue its downward trend as the market positions itself for potential Fed rate cuts. Tonight’s US GDP report is unlikely to be an event for crypto, especially if it reinforces the ongoing narrative of a slowing US economy.
Will we see more declines as we enter the 4th quarter of the year? Due to the lack of any near-term catalysts, we predict that prices will continue to fluctuate within a range as we enter September.”
Bitcoin and Ethereum Predictions
Bitcoin continues to close below $61,700, reminding us that the risk of falling to $55,000 persists. On the other hand, ETH is below $2,600. Although crypto investors are hopeful for the last quarter, the weakness in risk appetite, the price stuck in a narrow range, and the failure of recent attempts suggest that boring movements may continue for a while.
Legally, the SEC’s battle against one of the largest NFT platforms, which began yesterday, shows that the regulatory body will continue to stifle crypto as we head into the November elections.
