Reserve

Bitcoin

Coinbase released a report on Friday. It noted things might be looking up for Bitcoin and the wider cryptocurrency market. One key factor contributing to this positive shift is the completion of FTX’s bankruptcy estate selling a substantial amount of its <a href="https://news.todayq.com/gbtc-outflows-drop-blackrocks-ishares-leads-amid-bitcoin-dip/" target="_blank" rel="noopener noreferrer nofollow">GBTC</a> holdings. Reports from CoinDesk indicate that the estate has successfully offloaded 22 million GBTC shares. Providing some relief to the downward pressure on Bitcoin’s price. Coinbase analysts go bullish 
Another positive sign mentioned in the report is the net inflows into US spot bitcoin ETFs, averaging over $200 million daily in the past week. Since January 11, total net inflows have reached $1.46 billion. The analysts suggest that these<a href="https://news.todayq.com/crypto-linked-investment-records-non-stop-inflows-is-btc-etf-approval-imminent/" target="_blank" rel="noopener noreferrer nofollow"> inflows</a> show a shift towards macro factors becoming more important for the digital asset class. Potentially giving it a boost in the weeks ahead.
Despite concerns about a cooling labor market and a growing budget deficit, the analysts argue that the combo of factors, including core PCE inflation lining up with the Federal Reserve’s long-run target, suggests only minimal trade-offs between economic activity and inflation. Is it time for a bull run? 
Looking beyond the immediate market dynamics, Coinbase analysts foresee macroeconomic factors playing a more pivotal role in the digital asset landscape. Itt points to the <a href="https://news.todayq.com/bitcoin-bull-run-might-halt-as-goldman-sachs-eyes-fed-cut-delay/" target="_blank" rel="noopener noreferrer nofollow">US Federal Reserve</a>‘s decision to postpone its quantitative tightening program until March 19-20. Suggesting a potential kickoff for the Fed’s monetary easing cycle on May 1, with plans to conclude its balance sheet reduction in June.
During a recent rate decision press conference, the Federal Reserve hinted at a higher likelihood of a smooth landing for the U.S. economy after the recent series of rate hikes. “In the US, the likelihood of a soft landing seems higher than it was a few months ago,” notes the Coinbase analysts, emphasizing the resilience of the economy.
Pairing the diminishing downside pressures on Bitcoin with the possibility of a rate cut coinciding with Bitcoin halving, Coinbase analysts anticipate a potential boost for both Bitcoin and other tokens in Q2, 2024. Presently, Bitcoin stands at $43,107.15, registering a marginal 0.01% increase in the last 24 hours, with a market cap of $845.62 billion and 19,616,793 BTC in circulation.
Get Crypto Trading Signals from Real Crypto Analysts. Join our Waiting List at todayq.com

Coinbase analysts bullish as Bitcoin sees relief from downward pressure

Todayq News

Other articles published on Feb 3, 2024

A Trader Who Made Millions From Shiba Inu and Bonk Now Holds a New Token—Could This Be the Next 1...

Amazing Ways AI Tech Benefits Practitioners and Patients in the Healthcare Industry – Report

19M Chainlink Tokens Unlocked And Move to Binance, LINK Price Volatility Soon?

Shiba Inu Gears Up for Token Burn Feature, SHIB Value Climbs

PYTH surges by 20% amid Binance listing – Will the momentum last?

Ripple Vs SEC Heats Up as Remedies Phase Nears: Settlement Off the Table?

Join our free newsletter for daily crypto updates!