While the sharp decline in Bitcoin and global markets has made investors cautious, QCP Capital, a Singapore-based cryptocurrency trading company, predicts a new outlook.
QCP analysts warn that it is too early to declare a full market recovery, highlighting continued volatility until Federal Reserve (Fed) and Bank of Japan (BOJ) policies become clearer.
They noted:
Macro markets recovered sharply today, but it is definitely too early to say they have returned to normal. Until there is clarity on Fed and BOJ policy, asset prices are likely to remain volatile.
The QCP believes an immediate rate cut is unlikely as it would undermine confidence in the Fed and increase market panic, heightening fears of an imminent recession.
Despite this uncertainty, the firm’s analysts suggest that now could be a good time to accumulate Bitcoin (BTC) and Ethereum (ETH) while prices are low.
An Ethereum whale has recently caused a stir by offloading a substantial portion of its holdings, selling over $24 million worth of ETH in the past three days amid significant market pressure.
XRP has been trading within an ascending triangle pattern, signaling a potential significant breakout.
Recent on-chain data for Dogecoin (DOGE) reveals a surge in activity, indicating a growing optimism among cryptocurrency investors towards the popular meme coin.
Commerzbank, one of Germany’s largest financial institutions, is making a significant move into cryptocurrency by offering Bitcoin and Ethereum trading services to its corporate clients.