In recent cryptocurrency news, renowned crypto Bitcoin has maintained a steady footing above the $29.2K mark, with no significant movement prospects until the new year according to analysts. A noteworthy observation is the lack of activity from Bitcoin ‘whales’ – investors holding between 10 and 100, and between 1,000 and 10,000 BTC – who are neither increasing nor decreasing their stakes in the cryptocurrency.
Crypto markets, in general, do not seem to be significantly influenced by macroeconomic factors such as rate hikes or inflation, and are seen as resilient. Brent Xu, CEO of bond-market platform Umee, even went so far as to say that Bitcoin’s steadfastness during the Federal Reserve’s latest rate hike indicates that this period of heightened rates has been completely integrated into its pricing. However, he remains skeptical about any substantial positive shifts on the horizon, expecting return to ‘bull market conditions’ not sooner than 2024.
Ether, another significant player in the digital asset market, mimics this lethargic trend, recounting a similar story where major cryptocurrencies currently stand their ground without notable fluctuations. SOL and MATIC, off by merely 0.8% and 0.7%, respectively, further iterate this. Yet, there are exceptions to this tranquil façade too, observed in Stellar Lumina’s XLM token’s recent 2.9% upswing from Thursday.
Interestingly, the behaviour of Bitcoin ‘whales’ reveals a neutral stance, with investors split evenly between relinquishing or acquiring additional stakes. Notably, Bitcoin is not seen as undervalued by these significant contributors. Somewhat peculiar is the slight uptick found in Bitcoin counts wielded by stakeholders with holdings falling between the range of 10,000 and 100,000 whereas, for Bitcoin’s largest stakeholders possessing over 100,000 BTC, supply balance stood unwavering.
Investors’ decisions and risk appetites can significantly influence market scenarios due to their substantial holdings. Overall, the crypto landscape seems to portray a picture of tranquillity with minor disruptions. As populations globally are increasingly onboarded into the crypto economy, only time will decide the fate of these digital currencies. Until then, prudence must be exercised as we navigate through the unpredictable crypto markets, appreciating the resilience embodied by these pioneering technologies despite external economic factors.
Source: Coindesk
