Last week in the news
Last week was a small relief from a bearish trend since the beginning of this year. However, risks from the macro environment are still in play, in which sense, it is too early for celebration. Bitcoin managed to sustain a support line at $20K, reaching its highest weekly level at $22.5K. Ether is back at $1.2K.
Positive economic news for the US market, released during the previous week, supported USD. Nonfarm payrolls were increased by 372K added jobs in June, beating market expectations at 250K. The unemployment rate was flat at 3.6%. Figures show that despite increasing inflation, the US job market remained strong. Regardless of it, some FED officials are still calling for another rate hike in July of additional 50 to 75bps.
The European regulatory bodies have accomplished a deal for establishment of the first regulatory framework for crypto currencies. This came out of the need to halt money laundering through crypto coins. The new law is called Markets in Crypto Assets, commonly known as MiCA. The new regulation requires issuers of stablecoins to sustain reserves which will be able to support higher redemptions for coins. Transactions with stablecoins have a limit of Eur 200 million per day. These companies will also be monitored for ESG risk.
The U.S. Department of the Treasury issued a press release looking for international engagement on digital assets in a quest for its responsible development, including also central bank digital currencies. Treasury is set to engage with world leading supranational institutions to address the risks originating from these assets and ensure that their implementation in the system is conducted by following high standards.
Binance set live its program of zero trading fee policy on Friday. On that day the exchanger faced a significant increase in trading volumes. As noted from the company, a trading volume of 320K coins per day is the highest volume since March 2020. Analysts involved in the matter are commenting that this is a way for Binance to fight decreasing volumes on the crypto market as a consequence of the significant drop in price of these assets.
Crypto exchanger Bit2Me, based in Spain, is planning to increase the number of staff by 250 within a period of one year. This news comes after plans to increase its business through even three acquisitions of a fintech company, software developer and the crypto exchange in Latin America.
Crypto market cap
Previous week was sort of a relief on financial markets, after a pessimistic first half of the year. Short optimism is coming from the latest US economic results which show that despite high inflation and increase of reference interest rates, the economy stayed resilient and added an additional 372K of new jobs in June. Investors are looking at it as a potential for the FED to slow down with further monetary tightening, while on the other side, few FED officials commented last week that they are still supporting an additional 50 to 75bps further increase in interest rates at the FOMC July meeting. This points to the conclusion that market recovery might be on hold for some time in the future. Total crypto market capitalization has modestly increased during the previous week, to the level of $930B, which is an increase of 10% on a weekly basis. Daily trading volumes were significantly decreased from the week before, moving between $106B down to $67B. Total funds outflow from the beginning of this year stands at $1.252B, which is a drop of 57%.
During the previous week almost all coins gained in value. Increase of total market capitalization in nominal terms was led by major coins: BTC, ETH, BNB and XRP. Bitcoin added $43B to its market cap, increasing it by 11%. BTC was followed by Ether, with an additional $19B in cap or 15% on a weekly basis. Binance Coin also had a good week, as it managed to add $4B to its total value, increasing it by 12% w/w. XRP was up by 9%, adding $1B in value. In relative terms Uniswap had a very good week, as the coin increased its value by 27%, and is followed by Polygon, with a surge in value of 24% on a weekly basis. Tether continues to decrease coins in circulation, with last week's drop of 0.5%.
Crypto futures market
During the previous week there had been some positive developments also on the BTC and ETH futures market. For the last few weeks, long term maturities were almost flat, moving within relatively low range. Increased market optimism pushed futures prices to the higher ground as of the weekend. BTC futures with shorter maturities were up by some 12%, while futures ending in 2022 were up by 10%, ending the week at level of $21.5K.
ETH futures had some major developments as long term futures were significantly up by some 20%, holding above $1.2K. Futures with shorter maturities were traded in line with the spot market, increasing the price by more than 16%.
Disclaimer: This article provides exclusive views of the author. It does not in any sense represent a suggestion for trading.
Last week was a small relief from a bearish trend since the beginning of this year. However, risks from the macro environment are still in play, in which sense, it is too early for celebration. Bitcoin managed to sustain a support line at $20K, reaching its highest weekly level at $22.5K. Ether is back at $1.2K.
Positive economic news for the US market, released during the previous week, supported USD. Nonfarm payrolls were increased by 372K added jobs in June, beating market expectations at 250K. The unemployment rate was flat at 3.6%. Figures show that despite increasing inflation, the US job market remained strong. Regardless of it, some FED officials are still calling for another rate hike in July of additional 50 to 75bps.
The European regulatory bodies have accomplished a deal for establishment of the first regulatory framework for crypto currencies. This came out of the need to halt money laundering through crypto coins. The new law is called Markets in Crypto Assets, commonly known as MiCA. The new regulation requires issuers of stablecoins to sustain reserves which will be able to support higher redemptions for coins. Transactions with stablecoins have a limit of Eur 200 million per day. These companies will also be monitored for ESG risk.
The U.S. Department of the Treasury issued a press release looking for international engagement on digital assets in a quest for its responsible development, including also central bank digital currencies. Treasury is set to engage with world leading supranational institutions to address the risks originating from these assets and ensure that their implementation in the system is conducted by following high standards.
Binance set live its program of zero trading fee policy on Friday. On that day the exchanger faced a significant increase in trading volumes. As noted from the company, a trading volume of 320K coins per day is the highest volume since March 2020. Analysts involved in the matter are commenting that this is a way for Binance to fight decreasing volumes on the crypto market as a consequence of the significant drop in price of these assets.
Crypto exchanger Bit2Me, based in Spain, is planning to increase the number of staff by 250 within a period of one year. This news comes after plans to increase its business through even three acquisitions of a fintech company, software developer and the crypto exchange in Latin America.
Crypto market cap
Previous week was sort of a relief on financial markets, after a pessimistic first half of the year. Short optimism is coming from the latest US economic results which show that despite high inflation and increase of reference interest rates, the economy stayed resilient and added an additional 372K of new jobs in June. Investors are looking at it as a potential for the FED to slow down with further monetary tightening, while on the other side, few FED officials commented last week that they are still supporting an additional 50 to 75bps further increase in interest rates at the FOMC July meeting. This points to the conclusion that market recovery might be on hold for some time in the future. Total crypto market capitalization has modestly increased during the previous week, to the level of $930B, which is an increase of 10% on a weekly basis. Daily trading volumes were significantly decreased from the week before, moving between $106B down to $67B. Total funds outflow from the beginning of this year stands at $1.252B, which is a drop of 57%.
During the previous week almost all coins gained in value. Increase of total market capitalization in nominal terms was led by major coins: BTC, ETH, BNB and XRP. Bitcoin added $43B to its market cap, increasing it by 11%. BTC was followed by Ether, with an additional $19B in cap or 15% on a weekly basis. Binance Coin also had a good week, as it managed to add $4B to its total value, increasing it by 12% w/w. XRP was up by 9%, adding $1B in value. In relative terms Uniswap had a very good week, as the coin increased its value by 27%, and is followed by Polygon, with a surge in value of 24% on a weekly basis. Tether continues to decrease coins in circulation, with last week's drop of 0.5%.
Crypto futures market
During the previous week there had been some positive developments also on the BTC and ETH futures market. For the last few weeks, long term maturities were almost flat, moving within relatively low range. Increased market optimism pushed futures prices to the higher ground as of the weekend. BTC futures with shorter maturities were up by some 12%, while futures ending in 2022 were up by 10%, ending the week at level of $21.5K.
ETH futures had some major developments as long term futures were significantly up by some 20%, holding above $1.2K. Futures with shorter maturities were traded in line with the spot market, increasing the price by more than 16%.
Disclaimer: This article provides exclusive views of the author. It does not in any sense represent a suggestion for trading.
免責聲明
這些資訊和出版物並不意味著也不構成TradingView提供或認可的金融、投資、交易或其他類型的意見或建議。請在使用條款閱讀更多資訊。