Latest news about Bitcoin and all cryptocurrencies. Your daily crypto news habit.
Market picture
The cryptocurrency market has regained its cap to above $1.18 trillion (+1.6% in 24 hours). The market's initial rebound on buying back the most sagging assets was supported by the unexpected news of Fitch downgrading the US long-term rating on Wednesday, which triggered an impulsive pull into Bitcoin and gold.
Bitcoin fell to $28.6K on Tuesday, hitting lows since June 21 amid market concerns over the Curve Finance hack and a likely drop in liquidity on the AAVE platform. The former cryptocurrency experienced impressive upward momentum, touching $30.0K early Wednesday morning. Although we do not see the realisation of a rapid decline scenario, for Bitcoin now, the 50-day moving average plays the role of resistance. The chances of a rapid decline will increase sharply with Wednesday's close below $29.2K.
News Background
TRON founder Justin Sun unexpectedly withdrew about $52 million in stablecoins from the decentralised finance protocol AAVE, impacting borrowing rates. In parallel, Sun announced a partnership between Tron and Curve. These actions stopped the slide of confidence in the cryptocurrency market and brought some speculative buyers back.
A positive signal for Bitcoin could be an increase in the reserves of mining pools. They reduced sales of cryptocurrency and resumed its accumulation, noted in CryptoQuant.
The U.S. will tax income from staking. The US Internal Revenue Service (IRS) has issued a new clarification, according to which the funds received from staking are considered income and should be taxed.
Tether, the issuer of USDT, the largest USDT stablecoin by capitalisation, reported excess reserves of $850 million, formed at the end of the second quarter of 2023.
About the author
Alex Kuptsikevich is a financial market professional with 16-years’ experience and a senior financial analyst at FxPro. He is the author of daily reviews on the impact of economic events with comments featured in top international and Russian media. Alex covers fundamental analysis, global markets, the foreign exchange market, gold, oil, and cryptocurrencies in his analytical pieces. As the senior financial analyst at FxPro, Alex is a guest expert in 1-tier global media such as Forbes, Coindesk, Euromoney and Morning Star.
Disclaimer
The views and opinions expressed in this article are solely those of the authors and do not reflect the views of Bitcoin Insider. Every investment and trading move involves risk - this is especially true for cryptocurrencies given their volatility. We strongly advise our readers to conduct their own research when making a decision.