When Will the Reversal Happen? Top 10 Catalyst Events Facing Altcoins

2024.09.03

When Will the Reversal Happen? Top 10 Catalyst Events Facing Altcoins

Bearish factors are fading.

2024.09.03 - 08:28:28

山寨币

Navigating Web3 tides with focused insights

Bearish factors are fading.

Author: DeFi Warhol

Translation: TechFlow

I've been working in the crypto space for 7 years, and we're now entering one of the most bullish market environments I've ever seen. Below are 10 factors that could drive altcoin prices higher in the coming months:

1. FTX's $16 Billion Payout

Recently, FTX has begun distributing a total of $16 billion, with $12 billion in cash. Many recipients are expected to reinvest these funds back into the market, potentially triggering a new wave of buying pressure.

2. Global Liquidity Index

The correlation between the crypto market and global liquidity is extremely clear. Whenever this index reaches current levels, markets typically follow with a strong rebound.

3. Ethereum ETFs

While Ethereum ETF developments have been slow so far, I firmly believe they will catch up soon. It's only a matter of time.

4. BlackRock’s BUILD Fund

Beyond ETFs, BlackRock—the world’s largest asset manager—has shown strong optimism toward blockchain technology. The BUILD fund is further proof of this, and this is just the beginning.

5. Goldman Sachs Embraces Tokenization

You thought only BlackRock was moving? Think again. Major institutions are already joining the trend.

6. U.S. Presidential Election

A Trump presidency would be positive for crypto, as his administration supports the industry. Currently, he holds a slight lead in the race, making it worth watching.

7. Interest Rate Cuts

The market currently expects up to three rate cuts this year, with a 90% probability of a 25-basis-point cut in September.

8. Retail Investors Are Still on the Sidelines

Google search volumes for "cryptocurrency" and "Bitcoin" remain at bear-market levels. Additionally, the Coinbase app ranks only 416th in its category.

9. U.S. Dollar Index (DXY)

The DXY has been steadily declining over recent months and is now at a key support level. A break below this level could be highly bullish for cryptocurrencies.

10. Bearish Factors Are Fading

Major sources of market selling pressure—including the MtGox repayment, Germany’s Bitcoin sales, Jump Trading, recession fears, and geopolitical conflicts—appear to be subsiding. These headwinds are weakening.