Bitcoin and Ethereum Surge: Macroeconomics Driving Crypto to New Highs!

Hang onto your hats, crypto fans! Jag Kooner from Bitfinex is sounding the alarm: Bitcoin and Ethereum are riding the wave of the current macroeconomic environment straight to new peaks!

Despite the wild rides we've seen lately, Bitcoin (BTC) and Ethereum (ETH) might just be gearing up for another epic climb. Jag Kooner, the head honcho of Derivatives at Bitfinex, is shouting from the rooftops that the stars are aligning for digital assets. Traders are glued to Federal Reserve updates and consumer spending stats, according to Kooner's hot-off-the-press note from May 28.

Here's the scoop: the Fed's feeling the heat from potential tariff-driven inflation. If they're sweating it, Kooner's betting the rates will stay put. But keep your eyes peeled for core personal consumption expenditures—that's the real game-changer for the dollar.

"The Core PCE data dropping on Friday is the big kahuna. Everyone's betting on stability, but if we see a dip below 2.6% year-over-year, watch out! Real yields will tank, the dollar will wobble, and that'll send capital sprinting back into crypto," Kooner warns.

If the dollar takes a tumble, traders will be scrambling for other assets to safeguard their stacks. And guess what? Bitcoin's looking mighty fine. Kooner's seeing a flood of institutional cash, with a cool $1 billion pouring into Bitcoin and Ethereum ETFs in the week ending May 25.

Is Bitcoin, Ethereum price set for another rally?

Get this—Ethereum might be the engine behind the altcoin rocket, says Kooner. ETH's up 6% against BTC from recent lows, and it's not just retail investors fueling this fire. It's the big guns, the institutional players, driving this surge.

"We're at the kickoff of what could be Phase 3 of the crypto bull run. BTC's holding steady, ETH's picking up speed, and the cash is spreading to some choice altcoins," Kooner says about Ethereum's recent surge.

But hold your horses—the timing of this potential rally? It's all about the macro environment. If the Fed minutes and the PCE play nice, we could be in for another wild ride.

"Listen up, traders: crypto isn't overbought, it's underallocated. The macro scene just decides how fast the money flows in," Kooner drops the mic.