In a latest post on X, Miles Deutscher, a noted crypto analyst with over half one million followers, has proclaimed the present market condition as “some of the bullish setups” he has seen in his six-year profession within the crypto industry. Deutscher outlined ten pivotal catalysts that he believes are primed to drive the cryptocurrency markets higher within the near term.
“There was a whole lot of talk recently about headwinds (Germans selling, Gox, macro etc.). But the truth is, there may be A LOT to stay up for,” Deutscher emphasized.
10 Reasons To Be Ultra Bullish On Crypto
#1 German Government BTC Sales: Deutscher notes that the German government has exhausted its BTC reserves to sell, which removes a big selling pressure in the marketplace. “The very best thing about overhang is that after selling is priced into the market, there may be a floor on downside and headroom for price to maneuver higher. We still have Gox, but there’s now light at the top of the tunnel,” he explained.
#2 Bitcoin ETF Inflows: In accordance with Deutscher, the strong inflows into Bitcoin ETFs are underappreciated. Over the past month, these ETFs have seen inflows exceeding $1 billion, signaling sustained investor interest.
“I believe many persons are underestimating the magnitude of the long-term impact of the ETFs on BTC. It provides a powerful passive bid for the market, and appetite for the ETF isn’t going away (we’ve had +$1b this past month),” Deutscher added.
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#3 US Presidential Election: The crypto analyst identified betting markets like Polymarket, where Trump is favored to win. A Trump presidency is viewed as a positive catalyst for crypto, given his administration’s perceived support for the industry.
#4 Trump Advocacy at BTC 2024 Conference: Deutscher also highlighted Trump’s scheduled appearance on the BTC 2024 conference, where he is predicted to advocate for Bitcoin and cryptocurrencies more broadly. Rumors have it that Trump could make one other major announcement. Bitcoin Magazine CEO David Bailey has floated the thought of creating BTC a strategic reserve asset for america.
#5 FTX Repayments: The repayment of $16 billion to creditors by FTX is a less discussed but crucial factor. “Lots of these recipients will likely re-enter the market, resulting in a fresh bid,” Deutscher predicts, suggesting a possible increase in buying activity within the crypto markets.
#6 Global Liquidity Cycle: Deutscher also mentioned the correlation between global liquidity and crypto prices. “It’s crazy how correlated crypto (especially BTC) is to global liquidity. Interestingly, we’ve been closely following a 65-month cycle. This is able to suggest a late 2025 peak,” Deutscher predicted.
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#7 Spot ETH ETFs: The approaching launch of Spot ETH ETFs is one other major catalyst. This marks the primary time an altcoin has received such an investment vehicle, potentially expanding Ethereum’s market exposure and investor base dramatically.
#8 Goldman Sachs Tokenization Projects: Goldman Sachs’ involvement in three tokenization projects lends significant credibility to the crypto space. This institutional endorsement is predicted to profit a big selection of altcoins and related real-world asset (RWA) applications.
#9 Anticipated Rate Cuts: In accordance with the CME FedWatch tool, the market is currently factoring within the likelihood of three rate cuts until the top of the 12 months, with a 90% likelihood of a 25 basis point reduction in September. This might serve an enormous tailwind.
#10 Forward-Looking Markets: Lastly, Deutscher emphasized the reflexive nature of crypto markets, where positive sentiment itself can trigger substantial rallies. “Over the approaching months, you’re more likely to see the market price in these tailwinds. As crypto is very reflexive, a positive bid off the back of increased sentiment can, in and of itself, result in a serious rally,” Deutscher concluded.
At press time, BTC traded at $65,648.
BTC breaks above key resistance area, 1-day chart | Source: BTCUSD on TradingView.com
Featured image created with DALL·E, chart from TradingView.com