The cryptocurrency market has risen above $1 trillion again on good and bad news, and a bullish rally may be underway.
The two biggest cryptocurrencies, Bitcoin and Ethereum, surged following the poor US unemployment report released today. At the same time, the total capitalization of the cryptocurrency market has once again reached the all-important threshold of $1 trillion.
Despite rising unemployment, the price of BTC rose nearly 5%, while the price of ETH soared 8.5%. It would seem that with a deteriorating economy, the top two riskiest financial market assets are expected to decline, but investors have once again witnessed the paradox of good news.”bad” new.
According to the well-established narrative, the positive was triggered by the assumption that for the US Fed, rising unemployment could be an argument to revise its monetary policy. hawkish and slow the pace of Fed rate hikes. That said, the downtrend is present as the regulator’s focus shifts to the height of the rate hike, following Fed Chief Jerome Powell’s speech.
Traditional cryptocurrency market links
It seems a foregone conclusion to regret that the crypto market has become tied to traditional finance, as the trend towards its institutionalization continues. Thus, according to the latest financial results of the main American cryptocurrency exchange, Coinbase, 83.6% of the exchange’s total trading volume was made by institutional investors, despite a drop of $58 billion.