In the last 30 days, Bitcoin has recorded a surge of 8.5%. Meanwhile, during the same period, Ethereum has declined 1.0%. Since October 15, the Bitcoin Spot ETF market has seen only one day with a negative inflow. Yesterday, the market registered an impressive inflow of +$472.60M. Notably, the 2-year US Treasury Bond Yield was around 5.035% in late April, but now, it stands at 4.154%.
Michael van de Poppe states that there is a correlation between Bitcoin’s market growth and the continuing positive inflows in the Bitcoin ETF market and between Ethereum’s market decline and the US treasury yield drop. Let’s analyze these trends in depth! Ready?
Bitcoin Rises on ETF inflows
On October 10, the price of BTC was at a low of $60,311. Since then, it has reported a rise of 18.23%. This month, the Bitcoin Spot ETF market has displayed strong positive inflows. On October 25, the market saw an inflow of +401.20M, and yesterday, it marked an even greater inflow of +472.60M. One of the top BTC Spot ETF issuers, IBIT has not recorded a single outflow since October 15. Yesterday, it witnessed an impressive inflow of +$308.40M.
Altcoin Affected by Declining Yields
At the start of this month, the dominance of the cryptos, excluding the top ten, was 10.27. Now, it stands at 9.31%, indicating a 9.34% decline during the period.
On October 21, the Ethereum market reported a major drop from a monthly peak of $2,747. Currently, with a price of $2,623, the market is struggling to recover from the fall.
At the start of this month, the 2-year US Treasury Bond Yield was 3.609%. It reached a monthly peak of 4.025% on October 9 but then slipped to a new low of 3.939% on October 16. Right now, the bond yield index stands at 4.154% – at least 21.25% lower than the yearly yield peak of 5.037%.
Upcoming US Economic Events Expected to Increase Volatility
Today, the US market is expected to witness two important economic events: the US JOLTs Job Openings and US CB Consumer Confidence. Both these events could influence the market.
In August the US Job Openings index was 8.04 million – a notable rise compared to July’s 7.71 million. This month, the consensus is that it may reduce to 7.99 million.
Meanwhile, in the previous month, the US CB Consumer Confidence index was 98.7 – far lower than the forecast of 103.9. In contrast, in August, it recorded 105.6 – better than the forecast of 100.9.
The expert warns that the crucial economic events of the week could spark volatility in the crypto market, particularly in Bitcoin and Ethereum.
Stay tuned to Coinpedia for more updates!
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