Fundamentals and expected events: week 29
Crypto markets: Cryptocurrencies added slightly again even as risk sentiment returned to global markets. The total market capitalization of cryptocurrencies has once again risen above $1 trillion. Bitcoin is looking to reverse weakness against Ethereum and increase its dominance over other altcoins. Historically, Bitcoin has only fallen below its moving average three times and has always recovered. Bitcoin’s rebound has been helped by rising index valuations in both Europe and the U.S.
Stock and commodity markets: US stocks have firmed up significantly. Surprisingly favourable quarterly results of some companies contributed to this. Investors are thus beginning to believe that the June lows were already the day of the current bear trend. The mood in the stock market is also supported by the weakening dollar. Equity indices from the Asia-Pacific region traded at higher levels at the start of the new week. Oil is benefiting from risk sentiment and lack of announcements of increased production from Saudi Arabia. Brent is up 1.7% and WTI is trading 1.4% higher. Precious metals are gaining, with gold up 0.6% and platinum and silver up 1.3%.
Fundaments and important events: Further increases in inflation in the euro area were mainly due to higher food and energy prices. China reported the highest daily number of new cases of Covid-19 in almost 3 months. Joe Biden’s visit to Saudi Arabia resulted in no announcement of increased oil production by Saudi Arabia. There will be several important macro data and events this week, including a decision on the interest rate by the ECB.
Would you like to gain a better understanding of the world of cryptocurrencies? Try our series of educational articles for newbies. Did you find a term in the text that you don’t understand? You can find all the most commonly used terms in our glossary.
Cryptomarkets and marketcap: week 29
BTC / USD
ETH / USD
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