Crypto Market Surges
The crypto market has continued its strong resurgence following last week’s US rate cuts. Bitcoin has surged 8.10%, reaching $64,000 USD and Ethereum has spiked 12.19% to $2,613. The Federal Reserve’s 50bps rate cut acted as the catalyst for this rally, as more capital for investments will become available. Lower interest rates tend to shift attention towards risk-on assets like digital currencies, as the returns on bonds and treasuries become less attractive.
As we approach Bitcoin’s historically strongest months, momentum is clearly building. Notably, Bitcoin ETFs experienced $390M in inflows this past week, almost four times the average weekly inflows. This highlights growing institutional interest and adds fuel to the already bullish sentiment surrounding Bitcoin.
Weekly Price Update
SEC Launches Bitcoin Options Trading
The SEC’s approval of options trading on spot Bitcoin ETFs marks a significant step towards greater integration of Bitcoin into traditional finance. This approval not only opens the door for wider adoption but also provides institutions with more sophisticated investment strategies, driving increased demand for Bitcoin.
Options trading allows investors to hedge against market volatility, offering protection from sudden price drops that could otherwise negatively impact portfolio value. This added versatility is a critical component of financial markets, and it is expected that many large institutions will leverage options to manage risk while enhancing returns. As a result, demand for Bitcoin is likely to rise, making it an even more attractive asset.
Trump and Harris Racing to Adopt Bitcoin
For the first time in her campaign, Harris has openly addressed digital assets, stating during a New York fundraiser, "We will encourage innovative technologies like AI and digital assets." This is a significant shift, as her stance on crypto had remained unclear until now. By positioning herself as an advocate for technological innovation, including blockchain and crypto, she signals growing political support for the space.
Former President Donald Trump made headlines as the first U.S. president to use Bitcoin for a transaction, purchasing a burger. He also added to the buzz by suggesting that Bitcoin could play a role in reducing U.S. debt crisis.
Both political parties are now acknowledging and engaging with digital assets marking a major bullish shift for crypto adoption. This recognition looks likely to lead to broader regulatory support and deeper integration, positioning crypto as a key component of the U.S. economy’s future. It's clear both parties recognise the importance digital assets has to U.S. citizens and are using pro-crypto stances to appeal to voters in what is shaping up to be a tight race.
Weekly Picks Out-Perform The Market
As we head into October, we anticipated a reversal in many alt-coins. In our previous newsletter, we highlighted four alt-coins that looked ready to surge. Those picks Tao, Popcat, Sui, and Prime, have significantly outperformed the market, delivering an impressive average return of 58.5% this past week.
Weekly Pick Updates
These coins still appear to have room to run and remain strong plays for UpTrade. This week, an added coin on our radar is Stacks (STX). Stacks is breaking out of its long-term descending channel, largely due to its upcoming Nakamoto upgrade, just 15 days away. This anticipated upgrade is set to enhance user experience and enable near instant transactions.
A) Position for Explosive Growth
The breakout phase of a bull market is typically explosive, with the majority of returns being made in a short period of time. Historically, Bitcoin and the crypto market has broken out of its accumulation phase between 154-161 days after the halving, currently we are at 157 days post halving.
A key statistic is that over the last 13 years, all of Bitcoin’s gains were made in just 27 months, highlighting the importance of being well positioned and ahead of the curve. Missing this timing means missing the opportunity to capture those sharp, fast-moving gains that define cryptos bull markets.
B) Common Investor Mistakes
A common issue we encounter is holding onto underperforming coins from previous bull runs, which can lead to missed opportunities in the current cycle. It’s important to focus on top-performing assets rather than remaining in coins that have lost momentum. Coins from previous cycles often struggle to perform well as many investors, facing losses, look to exit at the first sign of a resurgence. This creates significant selling pressure, which keeps these assets suppressed
Another concern is an overweight position in a single coin. If that coin underperforms, it can negatively impact your entire portfolio. Leaving you left behind. Diversifying into trending sectors can help amplify returns and set your portfolio up for better success.
C) Free Portfolio Health Checks
At UpTrade we want to ensure maximum gains are made for you and your portfolio this cycle, to ensure this occurs, for the next 14 days, we’re offering a free portfolio health check.
Contact your broker, Jeff or George, today to take advantage and leverage our analyst team. Our analysts will provide a comprehensive review of your portfolio, helping to maximise your investments and align with your financial goals.
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