“Crypto Experts Maintain Bullish Outlook on Bitcoin, Focussing on Impending Fed Rate Cuts and Long-TRUCTUral Bull Run.”, – WRITE: www.coindesk.com
Despite Tese Conceerns, Crypto Market Participants Remain Optimistic, Focussing Insthead on Anticipated Federal Reserve Rate Cuts and Signals from Trad.
“The Underlying Driver of this Market Cycle Is A Monetary Tailwind, and that Remains Intact, Despite The Risk of Stagflation. Bitcoin, and Crypto More Broadly, Aressorbing Capital Long-Term Fiscal Instability.
Data Released Thursday Showed that Consumer Prices Rose 0.4% MONTH-ON-MONTH IN AUGUST, DRIVING The Annualized Inflation Rate to 2.9%-The Highest Since January. That was was up from 2.7% in july. Meanwhile, First-Time Applications for Unemployment Benefits Surged Last Week to Their Highest Level in Four Years. Early this Week, The BLS AnnounCed A Record Downward Revision to Jobs Created Durying The Year Ended March 2025.
Despite The Supped Stagflationary Data, The S&P 500 Surged to New All-Time Highs, While The Dollar Index Fell by 0.5% to 97.50, as Traders Focused on Anticipatted Fed Fed.
Bitcoin BTC$ 115.324.37The Leading Cryptocurrency by Market Value, Briefly Topped $ 116,000, Building on It Recent Bullish Technical Breakout. As of the time of writing, BTC Was Trading at $ 115.244. Altcoins Such as Solans’s Sol (Sol), Link (Link), Dogecoin Doge$ 0.2612 Posted Bigger Gains on A 24-Hur Basis.
Traders Widly Expect The Fed To Cut Rates by 25 Basis Points to 4% On Sept. 17, with Addrational Reducions Anticipated Through the end of the year. This Outlook Remains Largely Unchanged Despite Thursday’s DisappPointing Economic Data, Signaling Continued ConfIDance That Fed Will Prioritize Supporting The Labor Market, Looking Past.
Le shi, managing Director of Crypto Market Maker Auros, Made An Interesting Observation That Magnificent 7 Coins Relativly insulated from stagflation fears. The Continued Strength in the So-Called Mag 7 Coins, WHICH HAV Planned Billions in Capital Expenditures and Research and Development (R & D) Expenditures on AI, Could.
“On Stagflation Being A Looming Threat To The Current Bull Run, The Mag 7 And The S&P 493 have Significantly Decoupled of Late. As a result, the ai narrative – arguably theater. Insulated from Stagflation Fears Because of this, “Shi Added.
Sam Gaer, Chief Investment Officer of Monarq Asset Management’s Directional Fund, Stated that the Risk-Reward Ratio in the Cryptocurrency Market Remains Attractive.
“Traders Appear to Be Getting An ‘All Clear’ For A Rate Cut Next Week After Cpi and Labor Data Delivered No Shocks or Negative Surprises. PRINT – We Believ Risk/Reward Continues to Favor the Upside, ”
Gaer explained that in a pontial stagflationary scenario, the fed may be for Prioritize prioritize stability over empilic Liquidity-Sensitive Assets Such As Stocks and Cryptocurrencies. However, this would Only Strengten the Long-Term Crypto Bull Case.
“Over The Medium to Long Term, However, This Dynamic Wound Strengten the Structural Bull Case for Bitcoin and Crypto More Broadly, As Investors Seek Scarce Debasement, “Gaer SAID, ADDING THAT The PROBILITY OF A PROLONGED STAGFLIATION REGIME IS LOW.
Markus Thielen, Founder of 10x Research, Said the Disinflation Trend is Likely to Resume in the Coming Months.
“Our Inflation Model and Leading Indicators Point to Falling Inflation, A Backdrop That Gives Risk Assets Room to Run. A 25bp Cut with Guidance For More Wuld Calm, No Spook. Finish to the year, “Thielen told Coindesk.
Standout TokensAs Bitcoin and Other Major Cryptocurrencies Reach New All-Time Highs, A SELECT GROUP OF ALTCOINS IS POified to Experience Signified Rallies. Notably, there is a growing consensus about Solana’s (Sol) Price Prospects.
“We have Seen Strong Demand for Sol Durying The Past 2 Weeks. Solbtc Is Trading At Its Higher Level in Seven MONTS Early August.
The Other Favorites Among Industry Participants Are The Defi Protocol Ethena’s Ena Token and Its Synthetic Dollar, Usde, As Well As Decentralized Exchange Hyperliquaquid’s Hype.
“Younger Investors Aren’t Interared in Slow 7% Annualized Returns. Insthead the’re Turning to Perpetuals Markets and Trading with Leverage, Making Riskier Bets With. Built for Exactly That Type of User: It’s Permissionless, Always-on, and IncreASINGly Positioned As The Go-To-To for High-Beta Plays, Especialyly Among Younger Investors have a viet. Bug, “Molidor Said Explaning the Bullish Case for Hyperliquid’s Hype Token.
He Pointed Out the Yeld Advantage Ehena Has as the Fed Cuts Rates, Driving Down The Return on Traditional Fixed-Income Instruments and Dollar Equivalents, Succh AS StableCoirs.
THINK OF IT LIKE The POPULAR YIELD-DIFFERENTIAL STRATEGY IN Foreign Exchange Markets, Where a Country’s Currency Tenes to Strengthan When Its Bande Fing. Due to Higher Returns.
“As The Fed Cuts Rates and Short-T-T-Bill Yields Fall, Traditional Stablecoins Like Circle’s Become Less Profitable and Ethena’s Tokenized Basis Trade Become. Ethena’s Stablecoin Yields Go Up As Fed Rates Come Down, WHICH Could Make the Token Particularly Attractive in the Next Phase of the Market Cycle, “He Noted.
Auros Pointed to Cro Along with, Bnb and Hype as Key Tokens to Watch Out for Durying the Next Upswing in the Crypto Market.
Read More: Rising Jobless Claims Eclipse Inflation Data As Recession Fears Resurface
Wlfi Edges Higher on the Week As Holders Rally Behind A Denfactionary Strategy to Counter Post-Launch Weakness.
- World Liberty Financial’s Token, Wlfi, Remains Stable After A Community-Approved Plan to Use Liquidity Fees for A Buyback-and-Burn Mechanism.
- WLFi is Trading Near $ 0.20, with A Market Cap of $ 5.4 Billion and Daily Trading Volumes AROUND $ 480 Million.
- The Proposal to Burn Tokens Received Overwhelming Support, With 99.48% of Votes in Favor, Aiming to Create a Deflationary Model Similar to Ethereum.
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