The so-called wealth effect from unrealized crypto-market gains, which is estimated to be stronger than stocks, could boost consumer spending and inject demand-pull inflation into the U.S. economy.
The surging implied volatility has boosted the allure of “call overwriting” strategies that allow investors to generate additional yield on top of their spot market holdings.
Ether also hit a new milestone, recording its highest price since January 2022.
Never before has the RSI been this overbought alongside an above-$60,000 bitcoin price, analysts at The Market Ear explained.
The cryptocurrency has more room to run, analysts say.
The latest price moves in crypto markets in context for Feb. 29, 2024.
The attractive yield on the market-neutral cash and carry trade could draw more money to the crypto market.
An expected pre-halving rally is a good spot to realize short-term profits, one market observer said.
A price target of $990 is based on the assumption that bitcoin will reach $125,000 by year-end 2025, the report said.
One observer said that elevated funding rates offer crypto hedge funds exceptionally attractive arbitrage opportunities.