The price of bitcoin and other top cryptocurrencies turned towards the green zone on Wednesday morning trading, August 24, 2022
Navigasi - The price of bitcoin and other top cryptocurrencies turned towards the green zone on Wednesday morning trading, August 24, 2022. The majority of the top cryptocurrencies rose from what was previously sluggish.
|The price of bitcoin and other top cryptocurrencies turned towards the green zone on Wednesday morning trading, August 24, 2022|
Citing Coinmarketcap data, Wednesday (24/8/2022), the crypto with the largest market capitalization, bitcoin (BTC) rose 1.38 percent in the last 24 hours. During the week, the price of bitcoin slashed 9.8 percent. Now, the price of bitcoin is in the position of USD 21,516.71 or around Rp. 319.47 million (assuming an exchange rate of Rp. 14,848 per US dollar).
The price of ethereum is also in the green zone. The price of ethereum (ETH) rose 4.2 percent in the last 24 hours. Meanwhile, during the week, the price of ethereum shrank 11.61 percent. Currently, the price of ethereum is in the position of USD 1,654.16 or around Rp. 24.56 million.
Then the price of binance coin (BNB) is in the red zone. BNB prices have weakened 0.65 percent in the last 24 hours. In the past week, BNB prices fell 5.38 percent. Now, the price of BNB is in the position of USD 299.13 or around Rp. 4.43 million.
Meanwhile, the price of cardano (ADA) rose 1.36 percent in the last 24 hours. However, during the week, the price of ADA fell 17.24 percent. Currently, the price of ADA is traded at USD 0.4628.
XRP price also rose 1.37 percent in 24 hours. However, over the past week, the price of XRP traded at USD 0.3464.
The strengthening was also followed by the price of solana (SOL). Solana prices rose 1.64 percent over 24 hours. However, the price of solana was cut 17.53 percent in a week. Now, the price of solana is in the position of USD 35.51.
The price of dogecoin (DOGE) climbed 1.12 percent in the last 24 hours. However, over the past week, the price of Dogecoin fell 20.75 percent. Currently, the price of dogecoin is trading at USD 0.06853.
On the other hand, stablecoins such as tether (USDT) have moved in the green in the last 24 hours. During the week, tether prices edged down 0.02 percent. Currently, the price of tether is in the position of USD 1.00.
The price of Binance USD (BUSD) is down 0.06 percent in the last 24 hours. Over the past week, the price of BUSD fell 0.04 percent. Currently, the Binance USD price is at USD 0.9997.
Meanwhile, the price of USD Coin (USDC) has been in the red in the last 24 hours. In the past week, the price of USDC edged up 0.01 percent. Now, the price of USD Coin is traded at the position of USD 1.00.
Previously, bitcoin remained firmly above USD 21,000 or around Rp. 313.6 million as of Monday (23/8/2022) morning, as investors continued their anxiety over the upcoming statement by US Fed Chair Jerome Powell.
Investors are also still concerned about the same macroeconomic uncertainties that have plagued markets on all fronts for nearly a year.
The largest cryptocurrency in market value has recently traded around USD 21,100. BTC has fallen 10 percent over the past five days following the release of the July Federal Open Market Committee (FOMC) meeting that suggested the bank would keep its current interest rate at 75 basis points, a rate hike.
Powell is widely expected to signal the central bank's intentions in a speech at the Fed's annual Economic Symposium in Jackson Hole, Wyoming later this week. So investors are still waiting for a speech from Powell.
Oanda senior market analyst Edward Moya said Bitcoin's upward momentum is starting to dim as risk assets weaken ahead of the Jackson Hole Symposium.
“This is a sign that investors are not ready to see prices retest June lows,” Moya said as quoted by CoinDesk, Tuesday (23/8/2022).
Moya noted bitcoin could drop below the USD 20,000 support if the dollar continues to strengthen.
"Bitcoin may hold the $20,000 level, but it may be difficult to maintain that level if the dollar continues to appreciate ahead of Fed Chair Powell's speech at the Jackson Hole Symposium," he said.
Other altcoins were mostly in the red as Ethereum changed hands below $1,600, a drop of more than 2 percent. Then SOL and SAND were recently down more than 6 percent and 5 percent, respectively.
Stock Market Depressed
Equity markets which are mostly correlated with crypto prices have also suffered throughout the day from the same concerns plaguing the crypto market. The tech-focused Nasdaq and S&P 500 both sank more than 2 percent.
The company, the world's largest stablecoin, based on Tether said on Friday, August 19, 2022 they had reserves worth USD 66.4 billion or around Rp. 989.8 trillion at the end of June. That asset reserve fell from $82.4 billion at the end of March.
This backup statement is provided by Tether on the website. It also said it had turned to Italian accounting firm BDO to certify its reserves and would aim to release monthly reports by the end of the year.
Even though its asset reserves fell to USD 66.4 billion, it still exceeds its liabilities which must have asset reserves of USD 66.2 billion, BDO Italia said in a statement.
Report Looks Positive
Investment partner at Securitize Capital, Joseph Edwards, said that Tether's asset reserve report is still positive.
"The report itself looks positive for Tether and reinforces there may not have been a large enough bank run event to relegate them to the questionable portion of their treasury," Edwards said.
In July 2022, Tether disclosed that it had cut its securities holdings as part of a plan to reduce its exposure to riskier assets as reserve assets.
Stablecoin Becomes Regulatory Spotlight
A stablecoin is a type of cryptocurrency designed to maintain a constant value, like a 1:1 US dollar peg. They are widely used in cryptocurrency trading to move funds between different cryptocurrencies or into plain cash.
Tether says its coins maintain their value by holding reserves denominated in dollars to match or exceed the value of Tether coins in circulation.
Financial regulators around the world have warned stablecoins could pose a risk to broader financial stability, with the UK among the major economies looking to regulate the sector.
The case of the algorithmic stablecoin Terra USD (UST) which lost its dollar stake has made regulators around the world tighten their scrutiny on stablecoin crypto assets.