According to BlockBeats, on October 8, according to The Block, JPMorgan analysts pointed out that the crypto market will be affected by several key factors in the coming months, including the seasonal "Uptober" trend, the Federal Reserve's interest rate cuts, Bitcoin ETF options trading, and Ethereum's "Pectra" upgrade.
The report mentioned that historical data shows that more than 70% of Bitcoin returns in the "Uptober" month are positive, which may have a positive impact on market behavior. In addition, despite the recent interest rate cut by the Federal Reserve, JPMorgan analysts pointed out that the broader cryptocurrency market has not yet seen the expected positive impact. They said that while a falling interest rate environment generally supports risky assets, the correlation between the total market value of cryptocurrencies and the federal funds rate remains weak at 0.46.
Analysts said that due to the lack of historical data, it is difficult to accurately predict how cryptocurrencies will react to interest rate cycles. "Crypto assets actually only appeared in the early to mid-2010s, and interest rates have been close to zero for most of their existence. Stable interest rates, not just low interest rates, may be most beneficial to these markets."
Another potential catalyst is the recent approval of options trading for the spot Bitcoin ETF, which analysts expect could deepen liquidity and attract new market participants.
