Bitcoin Awaits Fed

Taper Is Priced In

The latest moves in crypto markets, in context Edited by Omkar Godbole November 3, 2021 Sponsored by     Bitcoin (BTC) -0.6%  $63,000 Ether (ETH)  +2.4%  $4,560 (Price data as of November 3 @ 11:15 UTC) If you were forwarded this newsletter and would like to receive it, sign up here.  Good morning, Here's what's happening this morning: Market Moves: Bitcoin Awaits Fed Technician's Take: SHIB's Breakout Fails And check out the CoinDesk TV show "First Mover," hosted by Christine Lee, Emily Parker and Lawrence Lewitinn at 9:00 a.m. U.S. Eastern time. Today's show will feature guests: Jodie Gunzberg, CFA, Managing Director at CoinDesk Indexes U.S. Rep. Warren Davidson, Republican from Ohio Jodee Rich, CEO, NFT.NYC Biggest Movers These are the biggest movers in the CoinDesk 20 over the past 24 hours:   Top Gainers: Cardano (ADA): +8% XRP (XRP): 7.5% Polygon (MATIC): +6% Top Losers:  Aave (AAVE): -2.2%  Polkadot (MATIC): -2% The Graph (GRT): -1.2% The CoinDesk 20 are 20 digital assets filtered from the larger universe of thousands of cryptocurrencies and constitute roughly 99% of the market by volume at eight of the largest and most trustworthy exchanges. A message from Bybit What if you could win 0.1 BTC or 1 ETH from performing trades? At Bybit, we value our traders — and we show it. Join us, make a first deposit and trade at least $100,000 in Spot and Derivatives combined and you may be one of more than 80 lucky winners! Event ends Nov. 18, 2021, 10AM UTC. T&Cs apply. More than three million traders have experienced Next Level Trading. What about you? Market Moves by Omkar Godbole While bitcoin, ether and U.S. stock futures were trading flat ahead of the conclusion of a much-anticipated Federal Reserve (Fed) meeting, native tokens of Ethereum rivals like Solana, Terra, Avalanche and scaling solution Loopring scored gains. Surging transaction costs on Ethereum forced investors to look more closely at cheaper options.    Later Wednesday, the Fed is likely to announce the beginning of the so-called taper or gradual unwinding of liquidity-boosting asset purchases program.    Last month, analysts told CoinDesk that the taper is factored in and doesn't pose a significant risk to asset prices. That said, in recent weeks, bond traders have aggressively priced in prospects of an early interest rate hike, tracking rising inflation.    So, traders are likely to scan the Fed statement to see if the central bank still sees inflation as transitory. Fewer references to the word transitory might imply growing discomfort with price pressures and validate rate hike fears, bringing some selling pressure to equities and crypto markets.    It's anybody's guess whether the Fed will retain its view that high inflation is transitory, but easing supply chain bottlenecks suggest the central bank has the room to do so.  Google search value for the term "Buy SHIB" (Source: GoogleTrends) The baltic dry index, which measures the cost of shipping raw materials like iron ore, steel, cement worldwide, has fallen almost 40% since early October.   According to RBC Capital markets, the WCI Composite Freight Benchmark rate measuring the cost of a 40-foot shipping container dropped over 9% from $10,500 in September to about $9,500 in October.    If the Fed downplays the inflation scare, fears of an early rate hike will likely subside, opening the doors for a continued bull runs in stocks, bitcoin and ether.    Fed's ultra-low rates and record money printing since March 2020 have triggered unprecedented risk-taking across all corners of global markets. So, monetary tightening is widely considered bearish for risk assets.   While bitcoin is perceived as digital gold, the cryptocurrency tends to attract hedging bids mainly during risk-on environment in traditional markets.  Also Read: Bitcoin Whale Holdings Reach 2021 High Amid Inflation Fears Technician's Take by Omkar Godbole SHIB Under Pressure The failed breakout seen on the dog-themed cryptocurrency shiba inu's four-hour chart suggests the path of least resistance is to the downside.    Chart analysts consider failed breakouts as powerful bearish signals.  SHIB's 4-hour chart (Source: TradingView) A Message from Chainalysis Looking for your ticket #ToTheMoon? 🚀   Market Intel by Chainalysis - the blockchain data platform - arms you with the most complete on-chain dataset for crypto research and investment decisions.   Whether you're an Asset Manager searching for a signal...   A Quant Analyst interested in spotting market trends...   Or a VC looking to fund the next emerging crypto player...   Market Intel will help you reach your goals, utilizing 53 metrics across 10 categories—like whales, exchanges, liquidity, and supply. To get started, head to markets.chainalysis.com. BOLO Be on the lookout for the following events today: 18:00 UTC (02:00 p.m. ET): Fed's Monetary Policy Statement ICYMI In case you missed it, here are the most recent episodes of "First Mover" on CoinDesk TV:   Could SEC Approve Grayscale's Bitcoin Spot ETF Application Soon? Ethereum Jumped to Record High Amid Decentralization Boom   Grayscale has filed with the U.S. Securities and Exchange Commission (SEC) to convert its bitcoin trust to a bitcoin spot ETF. Will the SEC give it the green light soon? What could it mean for the crypto community at large? Grayscale Global Head of ETFs Dave LaValle shares insights on today's "First Mover." NFT.NYC is underway. NFT42 CEO Jimmy McNelis explains the latest NFT trend and the seed funding round for his company Nameless. Plus, regulatory news from CoinDesk Managing Editor for Global Policy & Regulation Nikhilesh De.  A Message from CoinDesk What will 2022 bring? Crypto 2022 is CoinDesk's ambitious effort to scope out what's next. This week it's Policy Week, a week devoted to exploring the complex ways governments are interacting with the cryptocurrency ecosystem, and how policy decisions or lack thereof will affect the year ahead. Read more here. Latest Headlines Kleiman v. Wright: Bitcoin's Trial of the Century Kicks Off in Miami At stake: The ownership of Satoshi Nakamoto's 1.1 million BTC. JPMorgan Report Says CBDCs Can Save Firms $100B a Year in Cross-Border Costs The report considers a network of multiple central bank digital currencies across the ASEAN region. Soaring Crypto Investment Calls for Regulation: India's Top Finance Newspaper "This is India's crypto moment," the newspaper declared. Biden Administration to Congress: Put Stablecoins Under Federal Supervision – Or We Will If U.S. lawmakers don't act, regulators have the authority to take their own measures, according to the long-awaited report from the President's Working Group on Financial Markets. International Cricket NFTs to Hit Flow Blockchain Following $17M Seed Round Tiger Global and Dapper Labs are backing Faze Technologies' bid to "build the metaverse for cricket." Disclaimer: The information presented in this message is intended as a news item that provides a brief summary of various events and developments that affect, or that might in the future affect, the value of one or more of the cryptocurrencies described above. The information contained in this message, and any information liked through the items contained herein, is not intended to provide sufficient information to form the basis for an investment decision. The information presented herein is accurate only as of its date, and it was not prepared by a research analyst or other investment professional. You should seek additional information regarding the merits and risks of investing in any cryptocurrency before deciding to purchase or sell any such instruments.  First Mover A newsletter from CoinDesk Copyright © 2021 CoinDesk, All rights reserved.  250 Park Avenue South New York, NY 10003, USA Manage your newsletter subscriptions  |  Unsubscribe from all CoinDesk email