Macro crypto currency market outlook

Bitcoin continues to extend its impressive recovery in 2023. The market is now looking decidedly more constructive and readying for the next big push towards an eventual retest and break of the record high from 2021 up around $69,000. Look for a sustained break above $40,000 to further strengthen the outlook, with only a dip back below $32,000 to delay.

We’re coming out of another impressive month of performance for crypto assets. Beyond the performance, we believe the biggest takeaway for the month has been just how resilient crypto assets have been in the face of adversity. This includes the SEC failing to approve the spot bitcoin ETFs, turmoil around Binance, and a fresh SEC complaint against Kraken.

Despite all of these headwinds, crypto assets have been exceptionally strong, outperforming traditional assets as well. Ether has led the way up some 15%, and bitcoin not far behind, up some 12% for the month. The performance has been all the more impressive as it has been accompanied by rising volume metrics.

The market is clearly turning to the longer-term value proposition and is now positioning for mass adoption in 2024. We believe the official SEC approval of bitcoin spot ETFs will be a major catalyst. Looking ahead to December, we think the biggest crypto news story will be around just how impressive performance in the asset class has been in 2023, especially relative to traditional assets.