The cryptocurrencies they rebounded this Friday, June 2, Bitcoin operates with increases of around 0.8% in the last 24 hours and pierces $27,000 again, after four days in decline. For its part, Ethereum climbs 1.3% and consolidates above US$1,850.
The leading cryptocurrency fell in May and posted its first losing month of 2023 after rebounding more than 60% between January and April. However, it rebounded today due to positive employment data and the increase in the debt ceiling in the United States.
339,000 jobs were added to non-farm payrolls, compared to expectations of 190,000 new positions.
“This reflects a labor market that, while still robust, is softening gently, not quickly. That’s exactly what the Federal Reserve would like to see,” he said. Art HoganChief Market Strategist B Riley Wealth In New York.
He added: “The Fed wants to tame inflation without crushing the labor market, and this is further proof that they are actually well on their way to doing so.”
Fed: there is still no consensus on a possible rate hike
The jobs data came as a relief to investors, who now expect the Federal Reserve will not raise interest rates this month for the first time since it began its aggressive tightening policy more than a year ago.
Fed funds futures show a greater than 70% probability that the Fed will hold interest rates at its June 13-14 meeting.
Debt ceiling in the US: the Senate approved the bill and avoided default
Separately, the Senate approved late on Thursday a bill to raise the public debt ceiling to $31.4 trillion, thus avoiding a catastrophic first default by the world’s largest economy.
“In general, the impact of the approval of the increase in the debt ceiling in the cryptocurrency sector was positive, resulting in a weekly increase of +0.9%,” he said. Sergio Moralesfintech consultant.
However, he remarked: “The outlook for the global economy remains fragile and is one of the main obstacles to the sector’s upward path.”
Future prospects
In this sense, the fintech consultant Sergio Morales considered that the new regulation of Cryptoactive Markets (MiCA) in the European Union generated greater volatility although it generated the possibility of seeing the sector as an investment alternative.
“I consider it relevant to mention that, also this week, the European Union formally signed its historic MICA regulation as law, bringing the bloc closer to becoming the first important jurisdiction in the world with specific regulations on the matter, and this brought with it a higher volatility“, he highlighted.
And he concluded: “But also an opportunity for institutional funds that are beginning to see this sector as an investment alternative, now provided with greater legal certainty.”
Source: Ambito
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