• The crypto market is experiencing violent ups and downs, but it could be worth it in the long run.
• The U.S. SEC is doing its best to dampen down the optimism caused by innovation brought to markets by crypto.
• Tuesday’s U.S. CPI data can decide which way the market will move next.
Crypto Market Fluctuations
The current crypto market is characterized by an unpredictable pattern of violent ups and downs, leaving many investors feeling uneasy about their investments. This type of stormy seas is common for crypto, as bitcoin and other altcoins attempt to form a strong foundation for the upcoming bull markets. As prices continue to fluctuate, it remains unclear what direction the market will take in the future.
SEC Intervention
The United States Securities and Exchange Commission (SEC) has taken measures to dampen enthusiasm over cryptocurrency innovations that have flooded the markets recently. Their decision to shut down staking on Kraken exchange indicates they are not keen on these technological advancements gaining any more traction or influence than they already have. Commissioner Hester Peirce even went so far as to publish her dissent via a statement on the SEC website itself, yet this did not stop Gensler’s SEC from taking action against these developments regardless.
Current Crypto Market Cap
At present, altcoin capitalization stands at $351 billion – a slight dip from its previous high of $390 billion – suggesting that a correction was due for some time now after its consistent rise since January 2021 . Bitcoin currently sits within its traditional range between $25k and $17k , with support levels at $20k should it break downwards again .
Tuesday’s Inflation Data
Unexpectedly high or low inflation figures expected from Tuesday’s US CPI report could potentially shake up the entire cryptocurrency marketplace . Depending on whether inflation prints higher or lower-than-expected numbers, bitcoin and altcoin prices may see a surge or dip respectively .
Conclusion
Although unpredictable fluctuations are part of investing in cryptocurrency , savvy investors may be able to use Tuesday’s inflation figures as an indication of where prices might head next . Taking into account all factors influencing the current state of crypto markets , it may be possible to ride out this stormy sea until calmer waters arrive once more .