The unprecedented amount of buying by the Fed as part of its monetary stimulus plan known as quantitative easing provided a tailwind for financial assets, such as cryptocurrencies, deemed by the market to be risky.
“We haven’t even seen an episode of FOMO yet, so the sharpest bull-run part of the rally is yet to come,” Alex Kuptsikevich, an analyst at FxPro, wrote in an email to CoinDesk.
Trading volume in the bitcoin spot market continued to decline despite bitcoin’s price rally over the past month.
Trading has also been relatively quiet on the Coinbase crypto exchange over the past week, with BTC accounting for 21% of total volume.
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Damanick is a crypto market analyst at CoinDesk where he writes the daily Market Wrap and provides technical analysis.
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