This Wednesday the fed gave a speech. i guess the runaway direction will happen on that day. Institutional investors seem to still be very dependent on the news in this Wednesday's speech.
I also found another interesting article
https://cointelegraph.com/news/bitcoin-trader-fears-a-bear-market-comeback-watch-the-us-dollar?utm_source=dlvr.it&utm_medium=twitter
Will this all be a concern for small traders or is this a step forward.
I think we have passed the resistance at $20k and today there was a bit of a dip but that's fair I guess, at the time I posted this the price of bitcoin was trading at $23k and it's a good way for us to wait for the positive news to come.
Topic: Talk about crypto investment - But Investors await FED Chair speeches! (Read 55 times)
February 06, 2023, 12:30:20 PM
February 06, 2023, 10:30:34 AM
Interestingly, crypto has made non ending connection with the real world and out of the crypto space since many investors and the bigger one's look for the signs of goodness from FED all the time. One of the report shared by @coindesk, dives all the way into paradigm of conspiracies' and how bitcoin is dependent on the fact-o-check from FED.
Companies are looking for data from the FED to make any big moves in the crypto sphere. Even they are looking and analysis what S&P500 are doing, because their earnings directly affect the market, how investors react to it and how investor based companies make their decisions in the long haul.
The article suggests, this connection is due to relation between hovering minds of investors who are looking for the profits from both side of world. Many institutional investors would be having both domains registered these days. This means, crypto and share market can be seen playing all along and could affect optimistically.
The written article is very big, and contains properly researched data.
Better read it here if interested: First Mover Asia: Bitcoin Not Ready to Soar as Investors Await Fed Chair Speech, More Earnings
Companies are looking for data from the FED to make any big moves in the crypto sphere. Even they are looking and analysis what S&P500 are doing, because their earnings directly affect the market, how investors react to it and how investor based companies make their decisions in the long haul.
Quote
FactSet data shows that less than 1% of the companies in the S&P 500 reported earnings that were above estimates. This is below the five-year average of 8.6%, and the 10-year average of 6.4%.
"As a result, the earnings decline for the fourth quarter is larger today compared to the end of last week and compared to the end of the quarter," FactSet's senior earnings analyst John Butters wrote in a Friday market update. "If the index reports an actual decline in earnings for Q4 2022, it will mark the first year-over-year decline in earnings reported by the index since Q3 2020.”
"As a result, the earnings decline for the fourth quarter is larger today compared to the end of last week and compared to the end of the quarter," FactSet's senior earnings analyst John Butters wrote in a Friday market update. "If the index reports an actual decline in earnings for Q4 2022, it will mark the first year-over-year decline in earnings reported by the index since Q3 2020.”
Quote
“Capital is now concentrated into areas with business models and product market fit. There is also less appetite for pure token rounds, with many investors preferring equity," Le said.
Quote
“Investors were very willing to underwrite risk, bet on exploratory and niche products, and take an optimistic view of the space,” Nate George, Venture Capital Co-Lead at Cumberland, told CoinDesk.
Speaking late last week on CoinDesk TV, David Siemer, CEO of accounting software provider Wave Financial, said that the market is giving mixed signals – strong job numbers, but mediocre earnings results – and he still expects a recession this year, albeit a weak one.
“I am a little more optimistic that it won't be quite as severe a recession as in a great recession or major, major recession,” he said, pointing to the resilience of consumers. “The fact that the Fed's actions are having such a slow effect doesn't mean cumulatively they won't eventually have a major effect. We're probably still a quarter or two away from seeing what the Fed's actions have really actually done to the economy.”
And what does this mean to crypto prices, looking forward? Joe DiPasquale, CEO of crypto fund manager BiBull Capital, wrote in a note to CoinDesk that crypto markets are “optimistic” after a modest rate increase and bitcoin will “oscillate around the $20K support level for the next few months, barring other unforeseen events and market action.”
Meanwhile, the U.S. Dollar Index (DXY) is opening the Asia trading week at 103.12, staying in what many analysts call a “defensive” position. The measure of the world’s largest fiat asset spent most of last year surging, hitting stock and crypto prices hard. Year-to-date it’s down 1.4%.
Speaking late last week on CoinDesk TV, David Siemer, CEO of accounting software provider Wave Financial, said that the market is giving mixed signals – strong job numbers, but mediocre earnings results – and he still expects a recession this year, albeit a weak one.
“I am a little more optimistic that it won't be quite as severe a recession as in a great recession or major, major recession,” he said, pointing to the resilience of consumers. “The fact that the Fed's actions are having such a slow effect doesn't mean cumulatively they won't eventually have a major effect. We're probably still a quarter or two away from seeing what the Fed's actions have really actually done to the economy.”
And what does this mean to crypto prices, looking forward? Joe DiPasquale, CEO of crypto fund manager BiBull Capital, wrote in a note to CoinDesk that crypto markets are “optimistic” after a modest rate increase and bitcoin will “oscillate around the $20K support level for the next few months, barring other unforeseen events and market action.”
Meanwhile, the U.S. Dollar Index (DXY) is opening the Asia trading week at 103.12, staying in what many analysts call a “defensive” position. The measure of the world’s largest fiat asset spent most of last year surging, hitting stock and crypto prices hard. Year-to-date it’s down 1.4%.
The article suggests, this connection is due to relation between hovering minds of investors who are looking for the profits from both side of world. Many institutional investors would be having both domains registered these days. This means, crypto and share market can be seen playing all along and could affect optimistically.
The written article is very big, and contains properly researched data.
Better read it here if interested: First Mover Asia: Bitcoin Not Ready to Soar as Investors Await Fed Chair Speech, More Earnings
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