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US Stock Market on Edge of a Bull Run, Says Crypto Firm

Published 15/01/2024, 09:00
US Stock Market on Edge of a Bull Run, Says Crypto Firm
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Coin Edition -

  • Crypto firm founder Vance Spencer said the U.S. stock market is on the edge of a bull market.
  • Over $6 trillion in treasury bills are expected to flow into the U.S. stock market.
  • A rise in the stock market may also increase spot Bitcoin ETF prices.

In a recent tweet on X (formerly Twitter), Vance Spencer, co-founder of the cryptocurrency firm Framework Ventures, suggested that the U.S. stock market may be closing in on a new bull market.

The founder noted in the tweet that there are currently around $6 trillion in treasury bills. Most of that is expected to move back into the stock market as investors try to cash in on the predicted rise.

According to the founder, this will happen once the S&P 500 – an index that tracks the 500 largest stocks in the U.S. – hits a new all-time high. Spencer stated that the index is less than 0.5% away from this new all-time. Once that happened, the founder said, “There will be an acknowledgment we are in a new bull market.”

Importantly, the founder said the fear of missing out on a bullish rise will convince investors to move their treasury bills into the stock market. “It’s hard to convey how being unallocated while the market rips to new ATHs torments people – the money must flow,” he tweeted.

The prediction follows the institutionalization of the flagship cryptocurrency network, Bitcoin. With several spot Bitcoin ETFs now running, an upward rise in funds flowing into the stock market will also raise the prices of the ETFs.

Meanwhile, Spencer’s predictions align with the prevailing sentiment among investors. With an expected interest rate cut, investors speculate that the stock market will see increased capital inflows. Elsewhere, there are similar expectations for the cryptocurrency market this year. Previously, analysts predicted that the spot Bitcoin ETF launches, the Bitcoin halving, and the interest rate cut by the Federal Reserve would be catalysts for Bitcoin to notch a new ATH before the end of the year.

The post US Stock Market on Edge of a Bull Run, Says Crypto Firm appeared first on Coin Edition.

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