Bitfinex: Crypto Market Bottoming, Track the Fed for Confirmation

IconCryptoNewsTerminal Staff08 Jul, 2024

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Bitfinex: Crypto Market Bottoming, Track the Fed for Confirmation

Recent analysis from Bitfinex suggests the "crypto market may have bottomed, but investors should watch the Fed's next move." Bitcoin dropped below its 120-day moving average due to forced selling concerns. However, weekend market indicators hint at a potential bottom. Long-term holders continue to profit, while short-term holders have exhausted selling. The perpetual futures funding rate has turned negative since May 1, 2023, signaling potential overleveraging. The Fed remains cautious about rate cuts. But recent labor market and inflation data suggest quantitative easing might be on the horizon. A rate cut at the July FOMC meeting is unlikely, but it could possibly happen in September.

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