Coinbase Research has released a new report expressing a bullish outlook for the cryptocurrency market in the coming months. The firm cites the recent strengthening correlation between cryptocurrency and stock markets, driven by global easing campaigns, as a positive indicator.
Ethereum (ETH) has exhibited impressive growth, outperforming Bitcoin (BTC) by 8% in the past week. Altcoins have also seen renewed investor interest, with gaming, scaling solutions, and Layer-0 sectors leading the way.
Coinbase Research Analysts Think October Will Be Favorable for Cryptocurrencies
According to the report, key market metrics remain healthy, indicating a robust market environment. Funding rates are stable, and open interest levels are near six-month averages. These factors suggest that the market is well-positioned for a strong October, a historically favorable month for cryptocurrencies.
Coinbase Research maintains a constructive outlook for the fourth quarter of 2024, primarily due to the favorable macroeconomic environment and idiosyncratic factors. The recent Federal Reserve rate cut and China’s stimulus package are expected to boost market liquidity, positively impacting cryptocurrency performance. However, the report notes that there may be a lag in the positive effects of these measures on the crypto market.
