Investors who actively bought cryptocurrencies during market dips are beginning to reap the rewards of their strategies. However, a main bullish trend in the market has not yet been established.
Global Liquidity and Its Impact on Crypto Markets
Global liquidity and M2 money supply are on the rise, reaching new all-time highs. China is actively injecting liquidity into markets, while the European Union continues to cut interest rates. However, the Federal Reserve has yet to align its rates with inflation. While inflation isn't decreasing, significant impacts on inflation due to tariffs have not been observed. Nevertheless, many anticipate that the Fed will need to start lowering rates to initiate a full-fledged crypto bull market.
Expectations for Altcoins in Current Conditions
Currently, altcoins are showing a decrease of 1-2%. During this time, Vladimir Putin mentioned potential economic cooperation with the USA, which may indicate the end of the Ukraine conflict. A deal with Iran has been signed, and a trade agreement with China has been completed. These developments create conditions for potential growth in altcoins.
Analysts’ Predictions and Insights
An analyst known as Sherpa shared thoughts regarding SEI Coin, noting that he couldn’t enter a trade but continues to monitor the market. Another analyst, Jelle, believes a BTC surge is near, highlighting strong signals from the current weekly candle and breaking previous lows.
Thus, investors accumulating assets during dips may hope for positive changes in the cryptocurrency landscape, although notable economic factors keep the duration of a bull market an open question.
