The momentum that led BTC to trade at its highest value since late August would appear to be driven by JP Morgan.
The rally in digital assets after this news reflects the lack of enthusiasm in the market.
Bitcoin registered an increase that led it to quote above the US$26,200, after climbing 2% in the last 24 hours. At the same time, the ethereum (ETH) climbed 0.6% and surpassed the US$1,650. Subsequently, the BTC fell below that psychological barrier again and is trading around at US$25,800 and ETH does so at US$1,625.
The momentum of market priceswhich led BTC to break the resistance of $26,200 for the first time since August 31, appears to have been driven primarily by JP Morgan. According to reports from the ‘Bloomberg’ agency, the New York bank would be in the early stages of the development of a blockchain-based payment and settlement system which promises significant benefits for the company led by Jamie Dimon.
The rebound in digital assets after this news reflects the lack of enthusiasm in the market. This lack of optimism is also reflected in the data, as according to CCData, spot trading volume Cryptocurrency has reached its lowest level since March 2019. In August, spot trading volume on centralized exchanges c7.78% Au$475 billion, while volume in derivatives decreased more than 12% to $1.62 trillion, the second lowest since 2021.
Bitcoin: between the comings and goings about ETFs
Despite the expectation that the judicial victory of Grayscale on the Securities and Exchange Commission (SEC) would boost digital assetsthe regulator’s decision to extend the deadline to decide on the Bitcoin ETF in cash proposed by BlackRock and ten other companies caused cryptocurrencies to fall again.
“The low volume of spot operations and fluctuations in open interest data suggest that the market is mainly driven by speculation,” suggests CCData.
Other experts, such as Samer Hasnmarket analyst at XS.com, believe that the market is waiting for the Federal Reserve (Fed), which will make decisions on September 20 due to its risk aversion. Right now, CME’s FedWatch tool calculates a probability 93% that the central bank will pause its interest rate hike cycle. In recent hours, James Bullard, former president of the Saint Louis Federal Reserve, has warned the market about the high probability that the Fed will increase interest rates at its September meeting.
In the last session of the week, the market has also been talking about the FTX case. Ryan Salame, a former executive at the bankrupt crypto exchange, pleaded guilty to two criminal offenses: conspiracy to make illegal contributions and defraud the Federal Election Commission, and conspiracy to operate an unlicensed money transfer business.
As for other “altcoins,” increases have been observed in ripple (XRP), cardano (ADA) and dogecoin (DOGE) of between 0.5% and 0.7%. Solana (SOL) leads the gains with a 1.7% increase.
Source: Ambito
I am a 24-year-old writer and journalist who has been working in the news industry for the past two years. I write primarily about market news, so if you’re looking for insights into what’s going on in the stock market or economic indicators, you’ve come to the right place. I also dabble in writing articles on lifestyle trends and pop culture news.
