The conditions of the US money market scared some investors who began to flee from risk, fearful of the shortage of dollars, the result of the Fed’s rate increases. And bitcoin, ethereum and the rest of the digital assets decoupled from the reaction of the technology shares traded on Wall Street that had falls of 0.6%.
Cryptocurrencies: what do analysts think?
However, the market expects the United States Federal Reserve to reduce the virulence of its interest rate update, and they express that for this reason the rises in Bitcoin did not have the usual emotion while the falls present resistance.
“The light disconnect between bitcoin and other risky assets has been interesting recently. We have seen more resistance during dips and apparently less enthusiasm during rallies. It will be interesting to see if this relationship is maintained and what it means in the future,” adds Erlam in a dialogue with Bolsamanía.
What is the Bitcoin Lightning Network?
But while this news gives reason to the pessimists, the fundamentals of bitcoin are growing day by day, as the number of bitcoins in the lightning net continues to set all-time highs. There are almost 4,700 Bitcoin on the Lightning Network. Additionally, MicroStrategy announced Tuesday that it is working on solutions to bring millions of people onto the Lightning Network.
The Lightning Network is a scalability solution built on top of bitcoin, allowing users to quickly send and receive BTC with virtually no fees, “so if this is adopted globally, ‘crypto’ will have strong utility with a payment network,” says Sotiriou.
In the market, however, they are on alert due to the proximity of a possible “black swan” in September, which could take prices to their lowest levels for the year.
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Source: Ambito
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