It has been over ten months since the turbulence in the market began. While some organizations have maintained their Bitcoin holdings, others have given in to the demand of the market and sold their HODLings. In this post, we’ll evaluate the top publicly traded businesses that own Bitcoin.
For months, Bitcoin has been trying to write the recovery story for the 2022 edition, but it has only been able to write the prologue. The route of the biggest cryptocurrency has been obstructed by bears and uncertain macroeconomic circumstances.
As investors awaited a crucial U.S. inflation report due later this week, cryptocurrency markets were lower on Monday, trading in sync with traditional markets.
Over the past 24 hours, a broad market index that gauges the performance of cryptocurrencies fell 1%. Ether (ETH) fell by 0.9% and Bitcoin (BTC) fell by 1.0%.
BTC was trading in the $19,200 to $19,600 area. After Friday’s U.S. job growth report revealed that hiring was slowing but remained solid, the price dropped under $20,000, indicating that the Federal Reserve will need to keep tightening monetary policy to lower inflation.
Consumer Price Index (CPI) inflation data is anticipated to decrease to 8.1% in September from 8.3% in August in a report from the Labor Department on Thursday. This is still four times the Federal Reserve’s 2% inflation target.
Riyad Carey, a research analyst at crypto data firm Kaiko, said,
“Today’s movement reflects the general bearish trend across all markets and is likely influenced by some de-risking ahead of inflation figures.”
Short Bitcoin products show bullish signs: CoinShares
However, there are some encouraging indicators. According to a CoinShares report released on Monday, digital asset investment products saw outflows of $5 million last week, but the redemptions were primarily driven by withdrawals from “short” bitcoin products, or those that bet on price drops.
According to the study, there were withdrawals of a record $15 million from short bitcoin investment instruments. Bearish sentiment is waning, according to CoinShares.
The study states that slight outflows of $2.2 million from ether-focused funds last week “show ongoing hesitation amongst investors post-Merge.”
Investors are being cautious in front of the CPI report as macroeconomic clouds linger over the market. Carey further stated,
“Thursday is likely to be volatile, as the inflation number will provide more information on if or when the Fed will begin to pivot.”
