[ad_1]
In the United States, an important inflation report showed that consumer prices rose to Fastest in 39 years.
Market volatility makes Bitcoin expected to fall for the fourth consecutive week, and the starry forecast of $100,000 before the end of the year—even back to the historical high of approximately $69,000 last month—now looks unlikely.
Crypto traders have been waiting for the release of the US Consumer Price Index earlier on Friday, as many investors see Bitcoin as a potentially useful hedge against inflation. The CPI report shows that in the 12 months to November, the index for all projects rose by 6.8%, the highest level since 6.9% in May 1982.The increase in the cost of living is in line with the average forecast of economists surveyed by Reuters and is higher than 6.2% in October Increase.
After the report was released at 8:30 am EST (13:40 UTC), Bitcoin climbed above $50,000, but as analysts came to a logical conclusion that high inflation rates may provide enough for the Fed Momentum decided to speed up the withdrawal of monetary stimulus measures Meeting next week – The last meeting of the Monetary Policy Committee of the U.S. Central Bank in 2021.
“If the financial market becomes tight, the Fed may have a radical tightening cycle. The first thing to be sold is your best performing asset, which will be a cryptocurrency for many traders,” a senior market analyst at a foreign bank Edward Moya said. The exchange brokerage firm Oanda told Lyllah Ledesma of CoinDesk.
However, later in the day, Bitcoin appeared alongside traditional markets, as traders pointed out that inflation figures were not as high as some economists had warned.
latest price
- Bitcoin (BTC): USD 48,383, +1.3%
- Ethereum (ETH): USD 4,046, -2.0%
- Standard & Poor’s 500 Index: +1.0%
- Gold: USD 1,782, +0.4%
- The 10-year Treasury bond yield closed at 1.489%
As Bitcoin fell for four consecutive weeks, crypto market analysts began to underestimate the possibility of a strong year-end rebound similar to the 2020 moon landing.
Research analysts at Coinbase Institutional wrote in the weekly newsletter on Friday: “For tactical reasons, we may not see institutional investors take a lot of risk in the last few weeks of December.” “So, we believe that, Cryptocurrencies may experience range-bound fluctuations for the rest of December.”
Constitutional trader
Data from analysis tools show that crypto traders bet on the PEOPLE token of the famous ConstitutionDAO recently, and the settlement record on Friday exceeded 9 million US dollars. Coin glass show.
The plunge came after a broader decline in the cryptocurrency market, causing large altcoins such as solana, terra, and Uniswap to fall Up to 9% As of Friday morning.
In November, approximately 17,000 participants in ConstitutionDAO raised $40 million to purchase a copy of the U.S. Constitution—one of the largest collective efforts of its kind involving cryptocurrency.
It was collectively lost to Ken Griffin, the founder of the Citadel hedge fund, who snapped up the work for a winning bid of $43 million, reportedly because his son told him to do so. Subsequently, ConstitutionDAO participants returned their donated funds in the form of PEOPLE.
PEOPLE has no utility, nor does it provide the holders with governance rights. However, according to CoinMarketCap data, this did not prevent cryptocurrency traders from pushing the token to a market value of $839 million. Trading frenzy led to losses, Shaurya Malwa of CoinDesk Report.
Altcoin overview
- Solana congestion puts network reliability into question: Due to congestion, Solana’s blockchain experienced an unusually slow speed on Thursday morning. The slowdown has sparked a debate about the centralization, communication, and transparency of Solana Labs, a key stakeholder in the ecosystem. Danny Nelson of CoinDesk Report.
- Polkadot, Solana, and Terra fell during the crypto market sell-off: Due to the decline in the broader cryptocurrency market, the native tokens of the tier 1 blockchains Polkadot, Solana, and Terra were one of the biggest losers on Friday morning. Shaurya Malwa of CoinDesk ReportPart of the reason for the drop in Solana’s price is the congestion of the Solana network. At the same time, the fundamentals of the large-scale altcoins polkadot and terra are still strong, the latter being the native token of the Luna network.
- Virtue Gaming, supported by ConsenSys, launched “Play to Win Poker”: Virtue Poker by Virtue Gaming is the only blockchain-based poker game licensed by the Malta Gaming Authority. Eli Tan of CoinDesk ReportThe project hopes to reinvigorate online gambling communities that have been dormant since the enactment of the Illegal Online Gaming Enforcement Act in 2006 into the same network. This model encourages amateur players to join the platform and aims to attract professional gamblers who have historically made the most money on platforms with a large number of non-professional players.
related news
- If it is an “inflation hedge”, why does Bitcoin fall?
- Chainalysis blockchain data platform integrates Lightning Network
- Binance negotiates with Indonesian heavyweights on cryptocurrency risks: report
- Assemble the blockchain to receive 100 million US dollars of investment from venture capital firms, crypto market maker: report
Other markets
All digital assets in CoinDesk 20 closed down on the day.
Notable winners as of 21:00 UTC (4:00 PM EST):
- Filecoin (FIL), +7.8%
- Polygon (MATIC), +5.2%
Notable losers:
- Chainlink (link), -6.0%
- Stellar Lumens (XLM), -3.9%
[ad_2]
Source link
