Consumer inflation data in the United States on October 10 will determine the Federal Reserve’s next move following its November meeting, according to QCP Capital.
5/ Read more about the week ahead here: https://t.co/EnPoo2suiA
— QCP (@QCPgroup) October 7, 2024
Experts noted that a strong employment report on October 4 led to a reduction in expectations for policy easing from 50 basis points to 25 basis points. Discussions around “Uptober” have formed strong support for Bitcoin around the psychological level of $60,000, they added.
Despite a challenging start to the previous week, the options market indicates bullish sentiment for the fourth quarter. This is evidenced by the purchase of December call options with expirations ranging from $75,000 to $95,000.
“Given the anticipated further rate cuts and Bitcoin’s correlation with equities, we are optimistic about a strong October,” the experts emphasized.
Analysts at UBS forecast that China will announce a new stimulus package between October 8 and 18, amounting to 1.5-2 trillion yuan ($213-285 billion), with an additional 8 trillion yuan ($1.14 trillion) in 2025.
In the early hours of October 7, the price of the leading cryptocurrency approached $64,000 following positive U.S. labor market data.
Earlier, NYDIG identified factors contributing to Bitcoin’s continued rally.