Nexo

Start Earning Up to 16% Interest Automatically

Learn More

Bitcoin price rises back above $43,000 as market expects another Fed rate pause this week

Bitcoin price rises back above $43,000 as market expects another Fed rate pause this week

Share this article

Bitcoin’s price has rebounded back above the $43,000 level for the first time in two weeks. This uptick comes as investors anticipate that the Federal Reserve will pause interest rate hikes at its meeting this week. With rates potentially stabilizing, bitcoin and other “risk-on” assets could benefit.

Major Chinese asset manager Harvest Global Investments has applied for a spot bitcoin exchange-traded fund (ETF) in Hong Kong. Additionally, Harvest and other firms like Venture Smart Financial Holdings and RD Technologies are in discussions with Hong Kong’s central bank about participating in an upcoming stablecoin regulatory sandbox.

A growing number of US senators are voicing support for crypto and blockchain technology. According to data from Coinbase’s advocacy group Stand With Crypto, 18 senators now fall into the pro-crypto camp, led by Republicans Cynthia Lummis and Ted Cruz.

Today’s Newsletter

  • Bitcoin price rises back above $43,000 as market expects another Fed rate pause this week
  • Hong Kong readies stablecoin regulation, receives Bitcoin ETF application from Harvest Fund
  • 18 US senators now ‘stand with crypto’ – Coinbase lobby group

a

Markets

Data powered by CoinGecko.

a

Top Stories

BITCOIN

Bitcoin price rises back above $43,000 as market expects another Fed rate pause this week

While a Fed pause has largely been priced into markets already, subsequent rate cuts that exceed expectations could provide a bullish catalyst for further Bitcoin price increases. This outlook aligns with growing institutional interest in Bitcoin, evidenced by accelerating spot Bitcoin ETF product development and asset inflows.

Looking back, bitcoin has proven resilient despite 2022’s macroeconomic headwinds of rising rates and inflation. With potential stabilization of monetary policy on the horizon, bitcoin seems poised to continue its long-term uptrend. However, uncertainty persists, and Bitcoin will likely continue to face volatility in the near term. [theblock]

BITCOIN

Hong Kong readies stablecoin regulation, receives first Bitcoin ETF application from Harvest Fund

Harvest Global Investments, a prominent player in China’s finance scene, put in a bid for a spot Bitcoin ETF with Hong Kong regulators on Friday. Other companies are also throwing their hats into the ring, with 10 fund managers reportedly looking into spot crypto ETFs in the city. Separately, Harvest and two other firms have held talks with Hong Kong’s central bank about trials of stablecoins, asset-backed digital tokens drawing attention globally.

Hong Kong has been moving to attract crypto activity and position itself as a crypto hub in Asia. In December, regulators indicated they were open to spot Bitcoin ETF applications after such products debuted in the US. The central bank has also unveiled plans for a stablecoin regulatory sandbox program to encourage trials of stablecoins, which some see as a bridge between crypto and the mainstream economy. [cryptobriefing]

POLICY

18 US senators now ‘stand with crypto’ — Coinbase lobby group

While bipartisan support is encouraging, there remains firm opposition from other senators. Per the tracker, 30 senators have taken negative positions on crypto. Senator Elizabeth Warren has emerged as the most vocal critic, introducing 3 anti-crypto bills. Just this month, she reintroduced an anti-money laundering bill aimed at noncustodial wallets and ramping up regulations.

This “war on crypto” comes despite data disproving claims that crypto enables terrorism financing or significant illicit activity. In fact, the US Treasury’s own 2022 report found fiat currency is preferred for financial crimes. The growing support in the Senate reflects wider recognition of the potential benefits of crypto and blockchain. With the midterm elections approaching, digital assets may increasingly become a campaign issue. [cointelegraph]

a

Other News

Trending

Diego

Share this article

Loading...