JPMorgan analysts identified several key catalysts that could shape the cryptocurrency market in the coming months, highlighting a mix of seasonal trends, macroeconomic factors and technological developments.

What Happened: The analysts pointed to the historical "Uptober" trend, noting that over 70% of Octobers yielded positive returns for Bitcoin (CRYPTO: BTC), The Block reported on Monday. They suggested this popularized concept could influence investor behavior, potentially leading to a positive month for Bitcoin in October.

The analysts also noted the market has "yet to see the 'pop' in cryptocurrency prices expected from lower rates since the Fed's Sep. 18 cut." They suggest the market might be waiting for more sustained stability before making decisive moves.

They further identified the approval of options trading on spot Bitcoin ETFs as another potential catalyst, saying this development could enhance market liquidity and attract new participants: "With options, investors now have a more dynamic way to engage with the ETF and drive liquidity in the underlying asset."

Ethereum's (CRYPTO: ETH) upcoming "Pectra" upgrade is "transformational for Ethereum's functionality," but more of a structural improvement rather than an immediate price catalyst, according to the JPMorgan analysts.

Despite these potential catalysts, JPMorgan's analysts concluded the cryptocurrency market remained in a holding pattern. They noted, "We continue to see the crypto ecosystem being incrementally more sensitive to macro factors, so we await the next major catalyst for development and enhanced retail engagement to provide secular growth for the ecosystem."

Why It Matters: The news comes as Bitcoin is enjoying a resurgence, spiking to $63,500 in Monday's U.S. trading session. The move coincides with an increase in former President Donald Trump's chances to win the November election, peaking at a high of 53.5% in prediction markets. This marks his biggest lead since the entry of Vice President Kamala Harris into the race.

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