Sep.17-Sep.23(BTC)Weekly market recap

vor 11 StundenLast week, the Federal Reserve kicked off the rate-cutting era with a hawkish 50 basis point cut. Although the CME had previously predicted a high probability of a 50bp rate cut, the fact that only one committee member voted for a 25bp cut while all others opted for 50bp was beyond market expectations. Following the announcement, almost all financial assets, except for the U.S. dollar, showed bullish trends.

After the rate cut, the value of the U.S. dollar will decrease, which will make stablecoins in the crypto industry more sensitive. They will either hold BTC to mitigate the impact of dollar depreciation or opt to hold other financial assets. Therefore, we anticipate that market volatility will significantly increase in the future.

Last week, BTC ETFs experienced net inflows for a period, but as the rate cut event cooled down, traditional capital inflows gradually declined. The ETH ETFs performed even more sluggishly, showing significant net outflows as of yesterday. If traditional funds fail to continue flowing into the market, it could lead to capital outflows within the market.

BTC saw further rebound last week, with the price breaking through the established support level. However, last week's trading volume was not significant. This can also be seen in the WTA indicator, where the blue bars representing whale activity are sparse. The ME indicator maintained a bearish signal, but the continuous rise is gradually narrowing the yellow zone.

In conclusion, we believe that BTC may fluctuate this week, with a higher likelihood of an upward trend than a downward one. We raise the support level to 68,000 and maintain the resistance level at 52,500.

Disclaimer: Nothing in the script constitutes investment advice. The script objectively expounded the market situation and should not be construed as an offer to sell or an invitation to buy any cryptocurrencies.

Any decisions made based on the information contained in the script are your sole responsibility. Any investments made or to be made shall be with your independent analyses based on your financial situation and objectives.