Coinbase Predicts Strong Q4 for Crypto Market with Resilient Liquidity

Coinbase analysts predict a positive outlook for the crypto market in Q4, supported by:

Resilient liquidity
Favorable macroeconomic conditions
Supportive regulatory signals

Bitcoin (BTC) may exceed market expectations due to macroeconomic advantages. Analysts note that the risk of disrupting U.S. monetary policy is low unless energy prices surge.

On-chain demand from Digital Asset Treasuries (DATs) provides price stability. Although BTC saw six straight September declines between 2017-2022, this trend did not continue in 2023 and 2024.

DATs hold significant amounts of BTC, ETH, and SOL as of September 10, potentially impacting market dynamics. Altcoin investments are increasing, leading to a "player-versus-player" phase, which could result in consolidation among smaller DAT players.

The report maintains an optimistic view for the final quarter, anticipating strong liquidity and continued regulatory support to sustain the market.