Interest Rate Cuts Are a Done Deal, Crypto Market Poised for a Bull Run, Will Institutional Accumulation Spark a New Bull Market?Interest rate cuts are basically a done deal. While this is long-term bullish, it's not a short-term catalyst for immediate price surges
Interest Rate Cuts Are a Done Deal, Crypto Market Poised for a Bull Run, Will Institutional Accumulation Spark a New Bull Market?
Interest rate cuts are basically a done deal. While this is long-term bullish, it's not a short-term catalyst for immediate price surges. Instead, there will be a period of incubation. The most impactful events for the crypto market this year are the approval of Bitcoin and Ethereum spot ETFs and the interest rate cuts. Both have profound implications for the crypto space.
ETF approval is a fundamental bullish sign for the entire crypto market. It allows traditional investment institutions to participate in Web3.0 in a compliant manner. The entry of these institutions will bring a massive amount of capital to the crypto market. Interest rate cuts discourage depositing funds in banks, pushing capital into the market. The first beneficiary will be the financial sector. As the traditional financial era has passed, the crypto market will inherit the capital flow that would have gone into traditional financial markets.
Wall Street investment institutions are large entities that significantly impact any investment market. Since they can now participate in the crypto market legally, they will develop their own strategic investment plans. The reason why ETF inflows haven't resulted in price hikes is that these institutions are accumulating at the bottom. Until they finish their accumulation, the market won't see any significant upward movement.
Retail investors always hope to buy at the lowest point, but they lack control over the market. Institutions, however, have the ability to manipulate the market. Their massive capital allows them to control short-term price movements. They can use media news and market manipulation to suppress prices, induce market panic, and force retail investors to sell their holdings, enabling them to accumulate at even lower prices.
While major players and institutions can control short-term price movements, they cannot manipulate the four-year cycle of bullish and bearish trends. Therefore, this won't affect long-term trend trading strategies. Once institutions have completed their accumulation, the market will begin to rise. All signs point to this happening soon.
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