Suche
Mein Konto
Crypto market: recovery after the mega surprise on October 10th!
Recent Crypto Market Developments: Tom Lee Sees Signs of Stability After Historic Liquidation Event.
Crypto market: recovery after the mega surprise on October 10th!
Tom Lee, Chairman of Bitmine Immersion Technologies, expressed optimism about the current state of the crypto market and believes that the worst effects of the recent market turmoil may have already passed. This comes from a report by Crypto News out.
The largest crypto liquidation in five years took place on October 10th. This was triggered by rising trade tensions between the US and China and led to the liquidation of billions in leveraged positions on digital assets. Lee noted that the October 10 liquidation was the largest in half a decade and the lingering effects are still being felt two weeks later.
Market analysis and resilience
Despite the recent shock, Bitcoin and Ethereum are showing signs of resilience, says Lee. He points to record low open interest rates and improving technical indicators as signs that the market is stabilizing. In the wake of the liquidation, Bitcoin prices fell by around three to four percent, with the coin trading at around $113,500 at the time of the last update.
Particularly notable is Lee's view that cryptocurrencies often indicate trends in stock markets and general market liquidity. He highlights Bitcoin's stability as well as Ethereum's increasing on-chain activity, particularly in stablecoin usage, as indicators of improving fundamentals.
Institutional adjustments
Another positive factor is JPMorgan's announced strategy to allow institutional clients to use Bitcoin and Ether as collateral for loans by the end of the year. This strategy relies on working with third-party providers to custody the digital assets. The move signals a shift in Wall Street's approach to cryptocurrencies, particularly in the context of regulatory changes under the Trump administration.
Although Jamie Dimon, the CEO of JPMorgan, previously referred to Bitcoin as a “pet rock,” the perception has changed and now these digital currencies can also be used as collateral for loans worth millions of dollars. Lee expects there to be significant moves in the crypto market by year-end, supported by improving fundamentals.