Crypto News Today
Cryptocurrency News: Up to $600 billion could enter Bitcoin
Our first Crypto News for today is about the investment bank JPMorgan Chase. It believes that Bitcoin (BTC) may receive an inflow of $600 billion in the future. This will happen after the purchase of BTC from MassMutual for last week’s $100 million. According to Bloomberg, analysts believe that demand between institutions is beginning to grow. MassMutual, one of the oldest insurance companies in the United States, has invested $100 million in BTC. The goal was to enter the cryptocurrency market. JPMorgan Chase’s strategists believe that this represents a change in the way institutions view Bitcoin and other cryptocurrencies. All while companies and larger investors raise their funds in the Crypto Market.
Cryptocurrency News: Bitcoin is growing due to high global debt
Three critical macro factors could have a direct impact on the price of Bitcoin in the short term. These are the US stimulus, the US dollar index (DXY), and rising global debt. If the US approves a new stimulus package shortly, it will cause a rise in risky assets. This could benefit Bitcoin, as the Cryptocurrency News show. However, DXY is recovering due to optimism about vaccines and declining voting risk. When DXY rises sharply, alternative value holders fall, such as gold and Bitcoin. Therefore, if the value of the dollar itself rises, Bitcoin’s value and gold against the dollar would naturally fall. In the last few days, however, Bitcoin’s price has been increased despite the dollar’s recovery. This trend suggests that positive macroeconomic factors, such as the sharp rise in global debt, outweigh the potential risks.
ETH 2.0 developers claim that everything went smoothly with Beacon Chain
It is now two weeks since the launch of Beacon Chain, a new era for Ethereum. The launch was successful, and that’s good news. This was confirmed by ConsenSys developer Ben Edgington in his latest ETH 2.0 update. “It’s been a wonderfully boring eleven days since its inception. Apparently, it all works”. Edgington went on to note that deposits in the Beacon Chain contract were accumulating as confidence grew. According to Launchpad, at the time of writing, 1.46 million ETH was deposited. That is about $863 million at current prices. This represents almost 1.3% of the total offer. Now that the Beacon Chain is officially running, and should earn participants an estimated 12.9% annual appreciation, major exchanges such as Coinbase, Binance, and Kraken provide a staking service for those who do not want to run their hardware.
The last meeting of regulators this year may move with the prices of currencies and cryptocurrencies
The latest Federal Reserve policy decision for 2020 may further shake up the US dollar’s support. This while helping Bitcoin’s bull market. The market also does not expect any changes in the guidelines for the Fed’s asset purchase program. The central bank currently buys $80 billion worth of government bonds and $40 billion value of mortgage-backed securities every month. The Crypto News for today show that the combination of ultra-low interest rates and unlimited bond purchases tends to benefit bitcoins. The cryptocurrency flag rose 400% from its low in mid-March against the policies. Mainly because they made short-term, lower-yield treasury bills and the US dollar less attractive to investors.
The environment is now recording bitcoins to prove to be the safest refuge. The flood of mainstream institutions, including the publicly traded company MicroStrategy, the payment company Square, and the veteran insurance company MassMutual, has already invested hundreds of millions in cryptocurrencies as an anti-fiat measure. Others may follow soon.
The Chinese government has distributed more digital yuan
People in China have made about 20,000 transactions through JD.com, an e-commerce company, to test its digital yuan. According to local Global Times media reports, JD.com reports that 80% of participants born in the 1980s and 1990s have used the platform to conduct digital currency transactions since Friday night, with at least one transaction exceeding $1,527. Suzhou is one of many cities participating in China-wide testing cases using the central bank’s digital currency. The city government reportedly distributed about 100,000 “red envelopes” (a traditional way of giving gifts in China) containing $3 million in digital yuan in a lottery for residents.
Market News Today
Now we move from the Crypto News for today to the Crypto Market News. The price of Bitcoin peaked on Sunday, December 6, at $19,400, a move that added 10% in just two days. Another withdrawal was back to $19,000, but the price rebounded again during Monday morning trading in Asia and reached $19,300. At the time of writing, this level has proven to be too strong resistance. The price of BTC has fallen back to $19,100. As can be seen, volatility is increasing. That meant a profit of $1,500 since Friday’s dip. The best coins in the last 24 hours include Litecoin, which again reached $80, Chainlink, Cardano, and Stellar Lumens.