Macro factors such as inflation now play a bigger role, which means traders must pay close attention to the publication of economic indicators.
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Heightened macro focus
Status quo roars in the market as BTC price action reigns stagnant and directionless, trailing in the lower $60,000s throughout the past week while trading volumes decline to 96-day lows. In lack of narratives and momentum, heightened attention is directed towards tomorrow’s CPI release. Any surprise is likely to alter interest rate trajectory expectations and, in turn, impact BTC and other risk-assets alike.
My base case is that the market is due to be choppy in the coming months. Bitcoin’s clear seasonal stagnation pattern from May to September makes it hard to be affirmatively bullish in May.lg...more
This week, it was Robinhood's turn to receive notice of impending legal action. FTX will pay back creditors with interest, Visa claims that only 10% of stablecoin transactions are 'real', and can crypto affect the upcoming U.S. presidential election?lg...more
Amidst the April retracement, leverage was cleansed from the market, and May 1 ETF flows pointed to a capitulation. Structurally, the market now looks sound, but there are some clouds on the horizon to keep an eye on. lg...more