In Asia on Wednesday morning, the price of Bitcoin surpassed US$23,000 once again. Ether and the majority of the top 10 non-stablecoin cryptocurrencies recovered from yesterday’s losses in tandem with robust gains in U.S. stocks for January and hope that the U.S. economy would have a soft landing. Top memecoin Dogecoin topped the pack, continuing to benefit on Monday’s news that longtime supporter and Twitter Inc. CEO Elon Musk is planning to add payment methods to the social media site.
The market capitalization of cryptocurrencies increased by 1.4% to $1.05 trillion, but trading volume decreased by 17.1% to $47.26 billion.
Exxon Mobil Corporation and Pfizer, Inc. both recorded record profits as a result of rising oil prices and the continued manufacture of the Covid-19 vaccine.
The Federal Reserve of the United States determines interest rates every Wednesday at 2:00 p.m. Eastern Time. Analysts at CME Group are overwhelmingly certain that the Federal Reserve will raise interest rates by 25 basis points, breaking the trend of 50 and 75 basis point increases since March of last year.
Last year’s dramatic rate hikes by the Federal Reserve seem to be limiting inflation as intended. The Employment Cost Index, which was issued on Tuesday, increased by 1.0% in the previous quarter, the lowest increase since the end of 2021. The U.S. consumer price index increased 6.5% year-over-year in December, much less than November’s 7.1% increase and the greatest monthly fall since April 2020.
This week, major technology companies report earnings, including Apple Inc., Amazon.com Inc., and Alphabet Inc., the parent company of Google. Friday also sees the release of nonfarm payroll data, another major inflation indicator.
Disclaimer: The information provided in this article is for informational purposes only and should not be construed as financial or investment advice. Cryptocurrency investments are subject to market risks, and individuals should seek professional advice before making any investment decisions.