Crypto markets rebound, after Monday selloff
Cryptocurrency markets rebounded during Tuesday’s trading session, as investors looked to buy Monday’s dip.
Markets had fallen by as much as 4% to start the week, with the price of Bitcoin nearing a 5-week low, however longer-term bulls saw this as an opportunity to increase positions.
|💡 More on this|
One of the key factors to this was the fact that job vacancies also rose, hitting a new high of 1.3 million in the quarter.
After falling to a low of $56,474 on Monday, prices of BTCUSD rallied to an intraday high of $57,718 today.
Binance coin was one of the biggest climbers, and was up 6.63% as of writing, with Bitcoin and Ethereum up close to 2-4% respectively.
Many looking at technical analysis however believe that there could be further bearish pressure in upcoming sessions.
Oil prices surge, as U.S. taps into emergency reserves
Oil prices surged for a second consecutive session on Tuesday, as the United States began a coordinated release of its energy reserves.
The world’s largest economy confirmed that it will release 50 million barrels of crude, leading a joint mission with the UK, China, Japan, India and South Korea.
In a statement released following the move, a Senior member of the Biden administration stated that the move comes in response to the President’s desire to lower energy prices.
The source stated that, “We will continue talking to international partners on this issue. The president stands ready to take additional action if needed and is prepared to use his full authority working in coordination with the rest of the world”.
WTI climbed to an intraday high of $79.69 on the news.
FTSE 100 higher, on strong business survey data
In the United Kingdom, the FTSE 100 climbed for the first time this week, as markets reacted to positive data from businesses.
According to data from IHS Markit, UK business reported that orders of goods had risen to their highest levels since June.
The figures from the market researcher also showed that its purchasing managers’ index fell to 57.7 in November, from last month’s final reading of 57.8.
|💡 Does this mean that the BoE will now raise interest rates?|
This data adds on to other indicators that give the BoE a ‘green light’ to hike rates.
The Bank of England wrong-footed many investors at the start of this month by keeping rates at a rock-bottom 0.1%, after signalling an increase was on its way, because it wanted longer to assess the end of the government’s furlough jobs support programme on Oct. 1.
According to a bulletin posted on Lok Sabha, the Indian parliament’s official website, The Cryptocurrency and Regulation of Official Digital Currency Bill, 2021, aims to create a framework that would facilitate the creation of a central bank digital currency (CBDC).
And as we saw with China, the push against crypto does certainly put pressure on cryptos, but not enough to hinder future growth. In fact, prices were only negatively impacted in local Indian crypto exchanges
Despite the drop of 0.1%, the figure was still better than markets expectations, and helped the FTSE 100 close 0.15% higher.
As of writing, GBPUSD hit an intraday low of 1.3342, its lowest rate since December 2020.
“Losses are necessary, as long as they are associated with a technique to help you learn from them”– David Sikhosana