Altcoin spot trading volume has surged to nearly 4x Bitcoin’s.
This is the highest level seen in the past year.
What matters most to me here is that this move is largely coming from the spot market.
In other words, capital isn’t staying in #BTC — it’s starting to spread across the rest of the market as well.
I find this quite significant at this stage. If this move continues, it could strengthen the foundation for a new upward wave across Bitcoin and altcoins.✅
I’ll be watching this closely. Keep your notifications on. 👀🔔
What happens to Bitcoin if the Fed raises interest rates?
Let’s take a look at history.
The Fed last raised rates in July 2023. During the tightening cycle that began in March 2022, we saw a total of 11 rate hikes. During that period, #Bitcoin fell from around $40K to the $20K region.
However, we didn’t see the same reaction after the final hike. Following the 25 bps hike in July 2023, BTC didn’t fall sharply — instead, it moved higher.
Because the rate hike had already been priced in.
We have a similar situation today. A 25 bps hike is largely priced in.
So, what am I expecting?
My base case is a 25 bps hike today and one more 25 bps hike later this year. In other words, I’m expecting two hikes in total.
I don’t expect an aggressive, consecutive tightening cycle like we saw in 2022. However, if the Fed signals that more tightening is on the table, it wouldn’t be surprising to see increased pressure on crypto.
The message from Warsh will be especially important.
Frankly, I don’t expect him to deliver a dovish message on inflation.
If he signals that more hikes could follow, the market could price that in more aggressively.
As I said, my expectation is a process limited to two hikes, but Warsh’s message is important enough to change that expectation. ✍️
It’s starting to make a little more sense why Tom Lee’s BitMine is accumulating $ETH so aggressively.
They bought another 28,086 $ETH over the past week. Lee’s company now holds a total of 5.93 million ETH, while its combined crypto and cash holdings have reached $15.7 billion.
Lee’s long-term expectation is for Ethereum to reach $62,500 by 2030.
This isn’t a number pulled out of thin air. His scenario is based on the ETH/BTC ratio returning to historical levels and Bitcoin reaching $1 million.
What makes Tom Lee particularly interesting is that he has also been early on Bitcoin for years. Back in 2017, when he gave Bitcoin a $55,000 target, that figure seemed extremely ambitious.
His target is also based on BitMine reaching 5% of ETH’s total supply.
I think what’s worth watching here isn’t the number Tom Lee is predicting, but how aggressively he is backing that prediction with his own capital.
The accumulation of new whales in #Bitcoin has increased significantly recently. New big players are entering the market and buying…
I’m particularly watching the moves of these new whales. Because if big money continues to accumulate, it could be setting the stage for a significant move in price. 👀
🚨 THERE’S A KEY DATA RELEASE TODAY THAT COULD MOVE THE MARKETS!
The U.S. jobs data will be released at 3:30 PM. Last month came in at -23K, while expectations for this month are +56K.
So today, we’ll see whether employment has recovered after last month’s sharp drop.
If the result comes in significantly above or below expectations, we could see strong moves across the markets, especially in the dollar, interest rates, and crypto. 👀
I left my expectations and the scenario I’m watching in a voice note on the channel, guys.
🚨 Things have gotten a bit complicated for the CLARITY Act. Could the vote be pushed until after the elections?
The U.S. House of Representatives has canceled its two-week session in September.
That leaves just one week for the House to vote before the elections. The Senate is also expected to start working on the CLARITY Act around September 15.
However, if the Senate makes changes to the bill, it will have to go back to the House.
So yeah, the timeline is getting really tight.
This makes it increasingly difficult for the CLARITY Act to be completed before the elections, while the chances of it being pushed into the post-election “lame duck” period are growing.
The key issue for the market here isn’t necessarily whether the bill passes, but how much longer we’ll have to wait. Because in crypto, expectations themselves are a major part of the price action. #kripto #CLARITYActFacesDelaySenateLoses8VotingDays
$KITE is at a very critical resistance level right now. 👀
The $0.1413 level is on my close watch. If we see a breakout and price holds above this level, I see around 33% upside potential toward the $0.1875 area.
Japan's Financial Services Agency (FSA) is preparing a new regulation on the official classification of cryptocurrency as a "financial product" and the reduction of the current up to 55% #crypto tax to a fixed rate of 20%.
If this step is taken, the tax burden on cryptocurrency in Japan will be significantly alleviated and is seen as an important reform that will increase interest from institutional and individual investors.
🚨The likelihood of a rate cut at the Fed's meeting on December 10 has decreased to 45%. The probability of keeping rates steady at the same meeting appears higher at 54.2%.