We predicted this week would be one for the history books! Bitcoin has surged to a new all-time high of $76,888, starting from $66,000 on Tuesday. Meanwhile, Donald Trump has won the U.S. election, altcoins are surging, and the U.S. has seen another a rate cut.
As anticipated, a 25 basis point (bps) rate cut occurred, bringing the U.S. interest rate to 4.5-4.75%. This aligns with Federal Reserve Chair Jerome Powell’s statements in the previous meeting, where he indicated plans for another 50 bps cut by year-end. This suggests we can expect one more 25 bps cut at the December meeting.
In his press conference, Powell covered several key topics. He suggested that the labor market is cooling, which could imply further cuts. He also stated that the election results would not impact the Fed’s policy and confirmed he wouldn’t resign if asked by Trump. Powell remains confident that inflation is progressing as planned, though he hasn’t ruled out an interest rate hike in 2025.
The next rate decision on December 18 aligns with the so-called "Santa Claus Rally." Markets often rally in the week leading up to Christmas, though some argue it extends into early January. Regardless, a potential rate cut and the anticipated rally could continue to drive Bitcoin upward. Historically, nine out of the past 14 Christmas seasons have shown positive returns for Bitcoin, a 64% success rate. Notably, four of the last five Christmas weeks have been positive—an 80% success rate. Given this trend, there’s a strong probability of a positive performance in the lead-up to Christmas. Bitcoin nearing $100,000 by then is a possibility, with these events potentially pushing it over the line before 2025.
If you feel underexposed or worry about missing out, now is a good time to bolster your Bitcoin position before the new all time highs are made. You’re still early, and if you have long-term confidence in the crypto space, this is an ideal time to enter. Contact your Stormrake Crypto Broker to seize these golden opportunities.
Stormrake Spotlight: TAO ($506.8)
Stormrake Spotlight: TAO ($506.8)
TAO has experienced a slight pullback over the past 24 hours after rallying more than 35% in the last three days. While its longer-term trend remains technically bearish, with lower highs and lows, TAO is showing notable strength and may soon flip to a bullish structure. Once that shift occurs, the price should rise significantly.
BTC/USD Key Levels and Price Action:
BTC/USD Key Levels and Price Action:
Bitcoin has broken through previous price resistance levels, with the only remaining hurdle being the dotted green CPR level at $73.6k. Given the strong buying momentum, we anticipate Bitcoin will continue its upward trajectory. Any pullbacks to the 21 EMA should provide solid support, likely leading to a strong bounce.
BTC Total ETF Flows for 7 Nov: $ N/A million (6 Nov saw total inflows of 621.9 million)
(ETF flow data is sourced from https://farside.co.uk/btc/ and reflects figures at the time of writing.)
ETH/USD Key Levels and Price Action:
ETH/USD Key Levels and Price Action:
Ethereum continues to demonstrate strength, breaking through key resistance levels. Currently trading above $2,865, ETH has successfully flipped this level into support after an initial failure to break above it. This new support, coupled with the approaching 21 EMA at a similar price, suggests that ETH may continue its upward trajectory, potentially moving back above the $3,000 mark.
ETH Total ETF Flows for 7 Nov: $ N/A million (6 Nov saw total inflows of 52.3 million)
(ETF flow data is sourced from https://farside.co.uk/eth/ and reflects figures at the time of writing.)
To receive the Morning Note in your inbox. Subscribe here: https://stormrake.substack.com/
Written by Alexandar Artis
Create a brokerage account today
No Advice Warning
The information in this newsletter is general only. It should not be taken as constituting professional advice from the author - Stormrake PTY LTD.
Stormrake is not a financial adviser and does not provide financial product advice. You should consider seeking independent legal, financial, taxation or other advice to check how the information relates to your unique circumstances. Stormrake is not liable for any loss caused, whether due to negligence or otherwise arising from the use of, or reliance on, the information provided directly or indirectly, by this newsletter.
Disclaimer
All statements made in this newsletter are made in good faith and we believe they are accurate and reliable. Stormrake does not give any warranty as to the accuracy, reliability or completeness of information that is contained here, except insofar as any liability under statute cannot be excluded. Stormrake, its directors, employees and their representatives do not accept any liability for any error or omission in this newsletter or for any resulting loss or damage suffered by the recipient or any other person. Unless otherwise specified, copyright of information provided in this newsletter is owned by Stormrake. You may not alter or modify this information in any way, including the removal of this copyright notice.Copyright © 2024 Stormrake Pty Ltd, All rights reserved
