Bitcoin (BTC), which reached the new ATH of over $123,000 on July 14th, has consolidated under $120,000 for about a month. It surpassed $120,000 several times but failed to hold there, making it seem that BTC is poised for the rally.
At this point, Capriole Investments founder Charles Edwards said Bitcoin spills increased at Coinbase, the largest exchange in the US, which led to a historic rise.
Shared from X account, Charles Edwards said that Coinbase’s institution’s Bitcoin transaction volume has reached 75%.
Analysts said the high breakouts reaching these levels will constantly raise BTC prices in a week.
“Yesterday, the institution’s Bitcoin purchases accounted for 75% of Coinbase’s volume.
Reading over 75% indicates a higher price a week from now. ”
Coinbase’s high Bitcoin leak occurred as US CPI data was lower than expected in July and BTC prices were heading towards an all-time high.
When asked about the reasons for the rise in demand for businesses, Edwards pointed out the outlook for interest rates following yesterday’s CPI data.
Edwards notes that inflation is in line with expectations, noting that there is a greater likelihood of interest rate reductions, lower interest rates generally increase risky assets, and that Bitcoin has responded more positively to such macroeconomic signals.
“Companies’ profits have increased as inflation rose as expected yesterday, meaning the Fed will cut interest rates next month, perhaps three times this year.
The market is evaluating the possibility of a massive 0.5% reduction due to insufficient employment environment. As interest rates fell, risky assets rose, making Bitcoin the fastest growing horse in history.
According to CME Group’s FedWatchTool data, the price of the 25 basis point rate reduction in September was 99.8%.
*This is not investment advice.
