QCP Capital: Market momentum is building as investors add to year-end expiration calls

QCP Capital's latest report noted that last night's release of US CPI data was in line with expectations, with core CPI rising slightly to 0.3% YoY, higher than the forecast of 0.2%. This raised the probability of a 25 bps rate cut from the Fed to 85%, the highest level in a month. In the crypto market, BTC rebounded from its intraday lows to regain a foothold at $57,000, indicating strong demand and increasingly bullish market sentiment. Options activity reflected this, with more investors buying calls for October to December expirations. This week, BTC volatility dropped 12 pips due to the CPI data release and the presidential debate. With no major macro events in the near future, we expect volatility to remain low ahead of next week's Fed meeting. The market is gathering momentum in light of notable positive economic events such as the upcoming rate cut and the US presidential election.