Liquidity, Gold, and CNH/USD Point to Major Rally Ahead
The post Liquidity, Gold, and CNH/USD Point to Major Rally Ahead appeared on BitcoinEthereumNews.com.
Altcoins After an exceptionally brutal bear market, it appears the altcoin sector is finally seeing signs of recovery. Crypto analyst Michaël van de Poppe shared an in-depth breakdown of why he believes a major shift is underway. Here’s a comprehensive summary of his insights. A Horrific Bear Market Finally Nears Its End Van de Poppe highlights that the past quarter has been devastating for altcoins, with expectations crushed across the board. After extensive analysis, indicators now suggest that a bullish reversal could be underway. He encourages followers to watch his full video breakdown for a deeper understanding. Three Macro Factors Fueling the Market Rebound According to van de Poppe, the forces moving the markets are largely outside the crypto sector, and they revolve around three major developments: 1. Liquidity Is Increasing — Bitcoin Set to Rise Liquidity plays a critical role in Bitcoin’s price action. As M2 money supply grows, so does Bitcoin’s value, thanks to its inherent scarcity. Although underlying macroeconomic and geopolitical factors complicate the situation, the core principle remains: more liquidity, higher Bitcoin prices. The global response to economic challenges has led to stimulative actions: China initiated Quantitative Easing (QE). Europe and the U.S. have cut interest rates and expanded money supply (“printer brrr” again). These measures heavily favor risk-on assets, and Bitcoin could soon push toward a new all-time high. 2. Gold Peaking in the Short-Term — Risk-On Assets Could Thrive Van de Poppe notes that gold, a traditional safe-haven asset, seems to be peaking. Historically, when gold tops out, investors often rotate toward riskier assets like stocks and cryptocurrencies. Key observations: Gold has massively outperformed the S&P 500 by 20% since 2022. Current RSI data for gold shows conditions not seen since 1980. Meanwhile, Ethereum (ETH) has hit record lows against Bitcoin. This pattern suggests…
Filed under: News - @ April 27, 2025 8:19 pm