The continuation of altseason in cryptocurrencies relies on the economic stimulus measures from China and the response of global investors to recession fears. A recent report highlighted a 94% correlation between Bitcoin's price and global liquidity, suggesting that increases in liquidity can significantly influence risk assets like cryptocurrencies. As of July 2025, China reported declines in retail sales and investments, alongside stagnant industrial production. Analysts expect the People's Bank of China to introduce stimulus measures soon, which could boost market liquidity. Meanwhile, U.S. consumer sentiment is wavering, with expectations of rising unemployment, although markets have shown resilience with the S&P 500 hitting an all-time high. Rising Treasury yields indicate a potential shift in risk appetite among investors. Should China implement stronger stimulus measures, it could catalyze a broader investment shift into cryptocurrencies, potentially driving altcoins to new highs.

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