Cryptocurrency News



In the last days of December that precede the arrival of the new year, various unexpected twists are taking place on the market.

The first plot twist is connected to EUR / USD which suffered a real flash crash on the Christmas Day. On December the 25th, the euro collapsed, losing more than 3% against the US dollar within a few hours. EUR / USD hit the 1,15 threshold against the usual 1,18 of the days before.

The incident for many is due to a speculative attack, while for others it was determined by an algorithmic error. The hypothesis that has found more support is the first, for two fundamental reasons: first the renewed bearish sentiment on the single currency and seconds, the fears related to the outcome of the elections in Catalonia, certainly destabilizing for the euro itself.

However, the next day, the exchange immediately recovered and returned to trade at 1.18.

Another crash has hit the cryptocurrency par excellence, the Bitcoin, whose decline has also brought with it the Ethereum and other cryptocurrencies. The collapse was so striking that the market started talking about a bubble about to explode. Before Christmas, BTC/USD traded at 10.000 dollars, falling of over 30 points percentage.

The Ethereum has instead plunged more than 25 points percentage from $800 to $590.

The weakness in the price of Bitcoin has been determined by several large news. At the beginning of last week, the market opened the race for Bitcoin Cash, which was able to gain ample ground by registering a double-digit percentage increases.

To exasperate the position of Bitcoin, there was also the developers of SegWit2X who announced a hard fork for next December 28, thus suggesting a new division of the cryptocurrency.

Furthermore, the SEC, which has temporarily suspended trading on The Crypto Co., is determined to deepen its studies on cryptocurrencies. If other authorities were to intervene in the same way, the Bitcoin and its homonyms would suffer for sure.

The Ripple, however, unlike its namesake, is gaining more and more. The quotation of Ripple was able to maintain its share, rising up to exceed the coveted threshold of $1,13. These gains were all driven by growing demand from Asia.

Speaking of market movers, there are few appointments on the Economic Calendar.

The US third-quarter GDP was published but disappointed analysts’ expectations. The figure has in fact passed from 3,3% of the previous survey to 3,2%.

Demand for unemployment benefits increased, rising from 225 thousand to 245 thousand. Analysts had anticipated a figure of 231 thousand.

We also announce the approval of the new US tax reform. The market has now digested the news but its initial reaction has been different. On Wall Street, both the S & P 500, the Dow Jones, and the Nasdaq traded under the parity, albeit without recording any significant losses. Moving to Asia, the Nikkei closed at — 0,13%, while Shanghai closed at + 0,40%.

The euro-dollar exchange rate broke through again the 1,19 threshold, but the Chamber’s go-ahead imposed a new setback to the cross which relaxed at 1,18.

As for the Eurozone, consumer confidence rose in December from 0,1 to 0,5. Analysts had expected a decline to 0,0.

For what will happen in the coming days, 2017 will end in reality without significant macroeconomic data, the only appointment to keep under control is the ECB’s monthly report.

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