Index Investing News
Tuesday, May 20, 2025
No Result
View All Result
  • Login
  • Home
  • World
  • Investing
  • Financial
  • Economy
  • Markets
  • Stocks
  • Crypto
  • Property
  • Sport
  • Entertainment
  • Opinion
  • Home
  • World
  • Investing
  • Financial
  • Economy
  • Markets
  • Stocks
  • Crypto
  • Property
  • Sport
  • Entertainment
  • Opinion
No Result
View All Result
Index Investing News
No Result
View All Result

QCP Capital Posts 2023 Crypto Forecast: 3 Themes To Watch

by Index Investing News
December 29, 2022
in Cryptocurrency
Reading Time: 4 mins read
A A
1
Home Cryptocurrency
Share on FacebookShare on Twitter


Trading desk QCP Capital recently published its 2023 crypto forecast on their latest edition of “Just Crypto.” The firm highlighted this past year’s key moments, their potential impact going into a new year, and possible future digital assets and the global market. 

The report points out 2022’s year-to-date return for global assets. The market has experienced its worst-performing year for benchmark assets, such as Bitcoin, the S&P 500, the Nasdaq 100, and others.

Except for Natural Gas, other assets saw their worst losses since the 1970s. Bitcoin (BTC) alone crashed over 70% from its all-time high, while Ethereum (ETH) saw a 72% loss. This negative performance “was a by-product of the sharpest rate hike cycle in recent history” by the U.S. Federal Reserve (Fed). 

U.S. Fed’s sharpest interest rate hike program compared to other periods. Source: QCP Capital

Crypto Forecast: What You Need To Pay Attention To

According to QCP Capital’s crypto forecast, the Fed will likely continue to pressure the markets. The financial institution is trying to bring down inflation from a 9% high to its target of about 2%. Thus, the Fed hikes interest rates and unwinds its balance sheet.

While inflation probably peaked at those levels, QCP Capital believes the market will see “sticky” or persistent inflation. In order words, the financial institution will have difficulty lowering inflation to its target. 

This scenario could worsen if commodities prices, such as oil prices, push back above $100. Per the trading desk’s report, this is not the first time the Fed would face a similar scenario. 

In the 1970s, the financial institution hiked interest rates and brought down inflation, but the metric rebounded when oil prices trended to the upside. The war between Ukraine and Russia could have similar consequences to the 1970s and operate as fuel for inflation. 

As a result, the upside potential for Bitcoin and risk-on assets might be capped as long as inflation remains “sticky.” Furthermore, QCP Capital believes the Fed’s Federal Open Market Committee (FOMC) is unaware of the dangers of an uptick in inflation. 

Therefore, the financial institution will embrace a crash in risk-on assets, such as crypto, and ignore investors’ pain. QCP Capital said the following on what could be one of the essential items for their crypto forecast:

This will lead them to accept a recession rather than risk a rebound in inflation, even if the inflation spike is again due to supply side shocks. In terms of recession probabilities, we are now above the 2020 Covid highs, and fast approaching 2008 GFC and 2001 Dot.com levels.

Bitcoin BTC BTCUSDT
BTC’s price moving sideways on the daily chart. Source: BTCUSDT Tradingview

Crypto’s Hope At The End Of The Tunnel

There is potential for an upside if the Fed rushes to ease its monetary policy. In the past months, some financial institution representatives hinted at this possibility. 

If this faction succeeds, the global market might see a sharp rebound, including Bitcoin and other cryptocurrencies. The U.S. Dollar, represented by the DXY Index, will continue to operate as a direct obstacle for digital assets. 

Regarding technical analysis, the DXY Index has seen some losses in the past six weeks but is likely to bounce off its current levels. This upside price action might take the dollar back to 120, punishing global currencies, equities, and risk on assets. A break below these levels might trigger an opposite scenario.

Bitcoin BTC BTCUSDT Chart 2 QCP
DXY Index on critical support with a likelihood of bouncing. Source: QCP Capital

As of this writing, Bitcoin (BTC) trades at $16,600 with sideways movement on the daily chart. BTC/USDT chart from Tradingview. 



Source link

Tags: CapitalCryptoforecastpostsQCPThemesWatch
ShareTweetShareShare
Previous Post

Theophilus London missing from Los Angeles, family says

Next Post

Singapore to raise goods and services tax in January

Related Posts

Ripple CEO Clashes With Senate Crypto Chair Lummis

Ripple CEO Clashes With Senate Crypto Chair Lummis

by Index Investing News
May 20, 2025
0

Trusted Editorial content material, reviewed by main trade specialists and seasoned editors. Advert Disclosure A simmering dispute between Ripple Labs...

DigiAsia Inventory Jumps 90% After Saying Bitcoin Shopping for Plan

DigiAsia Inventory Jumps 90% After Saying Bitcoin Shopping for Plan

by Index Investing News
May 20, 2025
0

DigiAsia’s inventory soared by 91% on Could 19, closing at 36 cents. This occurred after the corporate introduced it might...

Bitcoin nonetheless can’t shut a day by day candle above 6k after 8 failed makes an attempt in 2025

Bitcoin nonetheless can’t shut a day by day candle above $106k after 8 failed makes an attempt in 2025

by Index Investing News
May 20, 2025
0

Bitcoin briefly rose to $106,300 early Tuesday earlier than sellers pushed it again beneath the $106,000 threshold, extending a months-long...

Behind Circle’s Public Itemizing Push Lies Non-public Bidding Conflict With Crypto Giants: Report

Behind Circle’s Public Itemizing Push Lies Non-public Bidding Conflict With Crypto Giants: Report

by Index Investing News
May 20, 2025
0

Maximising Dealer Development with B2CORE’s IB Module Maximising Dealer Development with B2CORE’s IB Module Maximising Dealer Development with B2CORE’s IB...

Solely 5% Will Make It

Solely 5% Will Make It

by Index Investing News
May 19, 2025
0

They are saying journalists by no means actually clock out. However for Christian, that is not only a metaphor, it...

Next Post
Singapore to raise goods and services tax in January

Singapore to raise goods and services tax in January

3 Beaten Up Healthcare Stocks with Strong Return Potential

3 Beaten Up Healthcare Stocks with Strong Return Potential

Comments 1

  1. Pingback: QCP Capital 发布 2023 年加密货币预测:值得关注的 3 个主题 - 每日金融资讯网

Leave a Reply Cancel reply

Your email address will not be published. Required fields are marked *

RECOMMENDED

Rangers: Door could open for Raskin deal

Rangers: Door could open for Raskin deal

December 5, 2022
Wolves can bin Costa for Gyokeres

Wolves can bin Costa for Gyokeres

January 6, 2023
Man Utd identify Antony replacement; Barcelona’s Jorginho request

Man Utd identify Antony replacement; Barcelona’s Jorginho request

January 30, 2024
KB Home (KBH) Earnings: 1Q23 Key Numbers

KB Home (KBH) Earnings: 1Q23 Key Numbers

March 24, 2023
Agree Realty: Strong Q4 Performance, Good Financial Position (NYSE:ADC)

Agree Realty: Strong Q4 Performance, Good Financial Position (NYSE:ADC)

February 22, 2024
Eminem’s mom Debbie Nelson lifeless at 69

Eminem’s mom Debbie Nelson lifeless at 69

December 4, 2024
Brookfield Properties Breaks Ground on Phoenix-Area Industrial Facility

Brookfield Properties Breaks Ground on Phoenix-Area Industrial Facility

April 7, 2024
Web 3.0 Will Be Backed By Cryptocurrencies (Like Ethereum)

Web 3.0 Will Be Backed By Cryptocurrencies (Like Ethereum)

May 24, 2023
Index Investing News

Get the latest news and follow the coverage of Investing, World News, Stocks, Market Analysis, Business & Financial News, and more from the top trusted sources.

  • 1717575246.7
  • Browse the latest news about investing and more
  • Contact us
  • Cookie Privacy Policy
  • Disclaimer
  • DMCA
  • Privacy Policy
  • Terms and Conditions
  • xtw18387b488

Copyright © 2022 - Index Investing News.
Index Investing News is not responsible for the content of external sites.

No Result
View All Result
  • Home
  • World
  • Investing
  • Financial
  • Economy
  • Markets
  • Stocks
  • Crypto
  • Property
  • Sport
  • Entertainment
  • Opinion

Copyright © 2022 - Index Investing News.
Index Investing News is not responsible for the content of external sites.

Welcome Back!

Login to your account below

Forgotten Password?

Retrieve your password

Please enter your username or email address to reset your password.

Log In