#Bitcoin and Ethereum prices are down.#
Hot Topic Overview
Overview
Recently, Bitcoin and Ethereum prices have fallen, primarily due to macroeconomic data that has sparked concerns about long-term inflation. Presto Research analyst Min Jung pointed out that markets, including stocks, have been weak due to concerns about persistent inflation. The latest economic data from the US has led traders to expect the Federal Reserve to keep interest rates at higher levels for longer, exacerbating market volatility. Additionally, the upcoming inauguration of Donald Trump on January 20 is expected to trigger market fluctuations as investors anticipate policy shifts.
Ace Hot Topic Analysis
Analysis
Recently, Bitcoin and Ethereum prices have fallen, primarily due to macroeconomic data that has sparked concerns about long-term inflation. Presto Research analyst Min Jung pointed out that markets, including stocks, have been weak due to concerns about persistent inflation, not just cryptocurrencies. The Nasdaq and S&P 500 indices also fell by more than 1%. This is mainly because ISM data showed that the US economy grew faster than expected, raising concerns about persistent inflation, leading to a surge in bond yields. The 10-year Treasury yield reached its highest level since April. Rachael Lucas, a cryptocurrency analyst at BTC Markets, added that the latest US economic data has led traders to expect the Federal Reserve to keep interest rates higher for longer. The market was previously unsettled by Federal Reserve Chair Jerome Powell's comments in December, which indicated the Fed's firm stance on monetary policy and dampened hopes for further rate cuts, thereby exacerbating volatility. Looking ahead, President Trump's inauguration on January 20 is expected to trigger market volatility as investors anticipate policy shifts.
Public Sentiment · Discussion Word Cloud
Public Sentiment
Discussion Word Cloud
Classic Views
Macroeconomic concerns have led to a decline in the prices of Bitcoin and Ethereum, including concerns about persistent inflation.
US economic growth has been faster than expected, raising concerns about persistent inflation, leading to a surge in bond yields, which in turn has impacted the cryptocurrency market.
Expectations of the Fed maintaining higher interest rate levels have exacerbated market volatility, as investors' hopes for further rate cuts have diminished.
Trump's upcoming inauguration is expected to trigger market volatility as investors anticipate policy shifts.