In contrast, Japan’s unexpected move saw the Bank of Japan raising rates by 15 basis points to 0.15% to 0.25%, contrary to market expectations. This coincided with a pivotal phase in Mt. Gox compensation, potentially prompting some claimants to sell off assets. A notable sell-off occurred from July 22nd to 25th, despite Trump’s bullish remarks at a Bitcoin conference briefly pushing BTC above $70,000. However, current data suggests the full impact of Mt. Gox’s sell-off has yet to materialize. The Bank of Japan’s rate hike may have spurred further sell-offs among Mt. Gox claimants, exerting downward pressure.
Additionally, heightened interest in Bitcoin futures reached a record $39.46 billion on July 29th, reflecting intense short-term market sentiment. However, BTC sharply retraced after surpassing $70,000, demonstrating market volatility and the tendency for corrections to align positions for future growth.
Despite recent market volatility, experts perceive this as an optimal window for strategic positioning. Favorable August CPI data and potential Fed rate cuts in September could propel Bitcoin into a robust market phase similar to traditional trends seen in September and October. The upcoming release of July CPI data on August 14th will be pivotal for Bitcoin’s trajectory. Should the Fed maintain current rates, late August may witness Mt. Gox-related sell-offs influencing the crypto market, presenting an opportune entry point. Moving forward into September, diminishing impacts from Mt. Gox coupled with heightened U.S. election fervor and supportive Trump policies are expected to drive substantial Bitcoin gains.
The post first appeared on HTX Square.
