Bitcoin, Ether Sink Amid U.S. Stagflation Fears

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)CoinDesk)

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Bitcoin and Ethereum fell on Monday’s Asian morning amid a resurgence of stagflation fears in the US. At the time of writing, Bitcoin was down around 2% at $62,345, while Ethereum was down 4% at $3,170. CoinDesk 20 (CD20), a measure of the most liquid digital assets, also fell around 4%.”Weaker than expected [U.S.] “While GDP pressure indicates a more stagnant economy, high Core PCE warns of an inflation problem that remains a problem for the Fed,” QCP wrote in a note over the weekend. The stagflationary combination of a slower growth rate and sticky inflation is causing the Fed to raise interest rates further weakened the chances of a discount.

The slowdown in Bitcoin ETF inflows is a short-term pause and not the beginning of a negative trend, broker Bernstein wrote in a research report on Monday. “There is a natural gestation period for Bitcoin to become an acceptable portfolio allocation proposition and for platforms to establish the compliance framework for selling Bitcoin ETF products,” analysts Gautam Chhugani and Mahika Sapra wrote. The broker added that there is no clear upward or downward momentum in Bitcoin, which has remained largely in the range since the halving. Bernstein’s expectation is that BTC will reach a cycle high of $150,000 by 2025 due to “unprecedented ETF demand inflows.”

According to Bloomberg, the first spot bitcoin ETFs could be approved in Australia by the end of the year. According to the report, at least two organizations (DigitalX and VanEck) have applied to list such funds on the Australian Securities Exchange, and another is working on it. The ASX accounts for 90% of the Australian inquiry market. Smaller rival Cboe Australia received an application to list its spot BTC ETF from Monochrome Asset Management earlier this month. Momentum for Bitcoin ETFs has been building in the Asia-Pacific region for several months, culminating in Hong Kong officially approving the first batch of funds last week.

Painting of the Day

(nftpulse.org)

The chart shows daily active NFT users on Solana and Bitcoin over the last four weeks.

The number of daily active users on Solana reached a record high of 59,300 on April 23.

“The increase in the number of traders is driven by wallets trading on Magic Eden and Tensor at prices below $10 per day,” said crypto analytics newsletter OurNetwork.

Bitcoin’s daily active investors reached a historical high of 25,600 on April 18.

Source: nftpulse.org

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-Omkar Godbole

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