Cryptocurrency markets closed the Monday U.S. trading day fairly flat, with the CoinDesk Market Index (CMI) up 0.23%, bitcoin (BTC) up 0.57% to $29,165, and ether (ETH) flat at $1,826. The question on everyone’s mind is what will move bitcoin past the $30,000 mark? Bullish traders are eyeing the upcoming U.S. July Consumer Price Index report for signs of continued inflation trends, with expectations set at a 0.2% monthly increase and a 3.3% year-over-year growth. In the backdrop is the Federal Reserve’s historical monetary tightening and subsequent market anticipation of rate cuts, which have historically been intertwined with bitcoin’s recent price fluctuations.
However, The Crypto Trader author Glen Goodman said it’s concerning that bitcoin hasn’t moved all that much in the last few months and more regulatory clarity is required for the market to move. I’m not very impressed with bitcoin. You’ll remember months ago there was a strong correlation between the S&P 500 and bitcoin. We were following that for the best part of a year, and that correlation has pretty much broken down, he said. Goodman argues that a break below $25,000 would be the end of the 2023 bull market.
Crypto options traders are betting against price turbulence, and BTC is unlikely to get a bullish catalyst. To even get to that point, there needs to be a big change in the regulatory environment. “The exchanges need to be reliable,” he said. “Nobody worries about if the New York Stock Exchange is going to exist next week.”