Coinbase Institutional: Bitcoin Falls Only About 2% Amid Multiple Bearish Factors, Potentially Signaling Market Bottom

Odaily Odaily reports that Coinbase Institutional posted on platform X, stating that while non-farm payroll data came in below expectations, the escalation of the conflict in the Middle East has refocused market attention on inflation. The market is now pricing in a "higher for longer" interest rate environment, with tightening financial conditions for long-cycle risk assets and an increased probability of a rate hike by the end of the year. Despite these bearish factors, Bitcoin only fell by about 2%, which may suggest a bottoming process. Meanwhile, the market capitalization of stablecoins has roughly doubled since January 2024, but entity-adjusted transaction volume has grown by 4 to 5 times. This implies that the velocity of stablecoins is accelerating; they are no longer just idle reserves or "dry powder," but are increasingly being used for actual payments.