FED Archives | Independent Reserve

Independent Reserve30 August 2022Market update

BTC A$29K. Markets tumble following Fed hawkishness

Markets fell this week after Federal Reserve chair Jerome Powell indicated the Fed will continue its aggressive approach to curb inflation despite the "unfortunate costs." "A failure to restore price stability would mean far greater pain," he said. Bitcoin plunged below the US$20K mark (A$29K), the S&P 500 fell 3.4% on Friday while A$46B was wiped from the Australian sharemarket on Monday. The local market is also bracing for another half a percentage point interest rate rise next Tuesday. Bitcoin is currently down 8% for the week to trade around A$29,300 (US$20.2K) while Ethereum has fallen 9% to trade around A$2,240 (US$1,540). Most other coins fell including XRP (-6%), Cardano (-6%), Solana (-12%) and Polkadot (-6%). Synthetix climbed 17.8% on the back off news it can now survive on actual revenue. The Crypto Fear and Greed Index is at 24 or Extreme Fear.

Independent Reserve7 June 2022Market update

BTC A$41K. FED starts process of Quantitative Tightening (QT)

Bitcoin's longest ever losing streak ended on Sunday with the cryptocurrency finally printing its first weekly green candle in 10 weeks. There’s now hope among traders that we’ve found the bottom and JPMorgan’s suggestion of a 30% upside for Bitcoin following the recent washout is right. However, Josh Olszewicz, head of research at Valkyrie Investments, thinks overall conditions aren’t favourable. “Uncertainty in the global economy due to high inflation and the likelihood we are in a recession, paired with the prevalence of central bankers raising rates, is likely going to force all assets downward at least through the end of the summer,” he said. The Reserve Bank of Australia is also widely expected to raise interest rates today. Bitcoin finished the week at AU$41,700 (US$29.9K) while Ethereum lost 11% to AU$2,450 (US$1,750). Cardano increased 1%, XRP fell 7%, Solana (-16%) and Polkadot was down 13%. The Crypto Fear and Greed Index is at 13, or Extreme Fear, up from 10 last week.