1 min readMacroeconomic uncertainty, increased confidence in Bitcoin?
This week, let's start with a bit of macro. The February jobs report might not be as bright as hoped, with ADP data hinting at potential disappointment. The labour market will likely feature slower hiring and increased layoffs, which could dampen job growth this spring. We predict payroll numbers falling short of expectations, echoing trends from Homebase's small business employment figures. This scenario could lead to decreased consumer spending and overall economic uncertainty. Amongst these coming challenges, there's been a notable shift in price action which could persist.
Since the 11th of January, bitcoin's price reaction to interest rate expectations has decoupled. This is underscored by the surge in bitcoin ETF inflows, crossing the US$9 billion mark year-to-date and propelling prices towards record highs. A correction followed which is a common scenario at these psychological levels, though a swift recovery highlighted strong demand. Our prediction is that investment platforms such as Carson Group are now more open to the RIA market, which could spur continued inflows.
