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- The Golden Bull Run Begins as Bitcoin Hits New High at $76,000
The Golden Bull Run Begins as Bitcoin Hits New High at $76,000
Plus Republicans Push for Bitcoin Strategic Reserve with One Million BTC Plan
Nathaniel Whittemore
November 07, 2024
The Breakdown First Five - Thursday, November 7, 2024
Welcome back to The Breakdown First Five — the 5 most interesting and/or important stories in bitcoin, crypto, and markets to start your day.
5. Fed Day
A 25 basis point cut is fully priced in for today’s FOMC meeting with another cut expected in December. Powell has been clear throughout the campaign that the Fed is apolitical and won’t react to the election. He went so far as to say they won’t change policy in anticipation of tariffs and tax cuts. The expectation is that the Fed will stay the course into inauguration day, reacting to macro shocks and data as it comes in. The cutting cycle remains in play.
Powell will still cut tomorrow. To change course this late in the game opens up too many political can of worms. He needs to stick to what they guided and not let it seem like they’re being reactionary to fiscal and panicky
— fejau (@fejau_inc)
3:27 PM • Nov 6, 2024
4. Crypto Funds are Back
After years in the wilderness, crypto funds had their phones ringing off the hook yesterday. Dan Tapiero of 10T said, "We have 300 investors in our funds. 30-50 suddenly want to talk this morning about how to get more exposure.” Startups are also rethinking their plans to leave the country or maybe even return. It’s a new day for crypto in America.
Every allocator got caught flatfooted this AM with how underexposed they are to crypto.
Expect the next 6-12 months to be a massive catch up trade not only in liquids but also in venture.
— Tom Dunleavy (@dunleavy89)
2:13 PM • Nov 6, 2024
3. ETFs Ripping
ETF investors rushed back to Bitcoin, trading over $6B in volume yesterday. Blackrock set a new volume record with $4.1B. Flows were incredibly strong, with $622M worth of inflows. Blackrock reports inflows on a one day lag, so their $69M outflow was actually due to Tuesday’s de-risking. The Trump trade is on and tradfi is choosing Bitcoin.
Remember the last time we saw volume spike during a rally? That was a precursor to the recent flow-athon, $IBIT alone took in $1.8b over next few days. Not saying it's guarantee but i'm fan of patterns and it fits pattern.
— Eric Balchunas (@EricBalchunas)
2:57 PM • Nov 6, 2024
2. Bitcoin Strategic Reserve
The most bombastic promise of the campaign was establishing a Bitcoin strategic reserve. With control of Congress seeming likely, Republicans actually have a path to making it a reality. Cynthia Lummis is all in, declaring that it will happen on Twitter. Her plan is much larger than Trump’s, buying one million BTC and holding it for 20 years. Bitcoin strategists with links to the Trump camp are taking this proposal seriously and urging a fast decision.
WE ARE GOING TO BUILD A STRATEGIC BITCOIN RESERVE 🇺🇸 🇺🇸 🇺🇸
— Senator Cynthia Lummis (@SenLummis)
5:05 PM • Nov 6, 2024
1. The Golden Bull Run Begins
One day is all it took for Bitcoiners to declare that a massive bull run had begun. Bitcoin hit a new high of $76,000 yesterday and many expect this pattern to continue into the end of the year. With the pall of the Democrat crackdown lifted, risk is on, regulatory concerns have dissipated and crypto is an investable asset class once again.
an anti-trump activist group are the ones that delivered the golden bull to the whitehouse lawn
ummm.... they need a new strategist?????????
they just gave us the mascot of the golden bull run 😂
— kook ☪️ (@KookCapitalLLC)
11:55 AM • Nov 6, 2024