TechFlow news, October 7 — QCP Capital's latest analysis indicates that despite a turbulent start to the month, Bitcoin’s traditionally strong October performance appears to be back on track. Bitcoin’s price is currently at similar levels as last Monday. QCP noted that the "Uptober" narrative, combined with robust non-farm payroll data, has helped Bitcoin find strong support around $60,000. An upcoming HBO documentary on Bitcoin is also bringing more mainstream attention to cryptocurrencies, while meme tokens linked to Len Sassaman are beginning to gain traction.
Despite a weak start last week, options flows still point to a bullish fourth quarter, with investors consistently buying December 75,000/95,000 call spreads. Considering potential future rate cuts and Bitcoin’s high correlation with equities, QCP remains optimistic about October’s performance. Thursday’s U.S. CPI data will be the market’s key focus. Recent strong U.S. wage and employment figures have prompted the market to closely watch for signs of rising inflation. Market expectations for Fed rate cuts have been scaled back from 50 basis points to 25 basis points within a week, and this week’s data could determine whether further adjustments to rate cut expectations are warranted.
