Optimistic Outlook: Coinbase Analysts Predict Easing Downside Pressures for a Positive Crypto Trading Atmosphere
Coinbase analysts are optimistic about a healthier trading environment for the crypto market as downside pressures appear to be waning.
The analysis suggests that factors previously impacting Bitcoin and the broader digital assets industry. Such as FTX’s liquidations and the financial struggles of Celsius, are resolving. Notably, the exhaustion of technical pressures is highlighted by FTX’s liquidation actions and the emergence of once-bankrupt entities. The report indicates robust net inflows into US spot Bitcoin ETFs, averaging over $200 million daily in the past week. Coinbase anticipates macro factors to play a more significant role in the digital asset class, potentially supporting its performance.
Additionally, the expectation of the Federal Reserve easing monetary policies in May, coupled with Bitcoin’s upcoming halving event in April, is seen as a positive development for the overall crypto market. The analysts foresee a favorable setup for the asset class with potential rate cuts and quantitative tightening tapering coinciding with the Bitcoin halving.
Clever Robot News Desk 5th February 2024