The crypto prices experienced a slight decline as investors awaited clues about the Federal Reserve’s monetary policy stance at its upcoming meeting. Furthermore, regulatory developments in the cryptocurrency market have played a significant role in undermining cryptocurrencies.
Bitcoin, the world’s largest cryptocurrency, failed to stop its declining trend and is now trading below the $22,000 level. In the meantime, Ethereum also experienced a dip, barely managing to stay above the $1,500 mark.
$BTC could easily drop to $19,362.82 or even $18,032.09 this week. The daily chart’s rounded top is surely an important shift towards bearishness. A push below $21,303.51 would complete the pattern #Bitcoin #cryptoworld #cryptocurrency pic.twitter.com/c2bAwQ0R6i
— Clever Markets (@CleverMarkets) February 13, 2023
However, Bitcoin began to lose ground after the US-based Kraken cryptocurrency exchange temporarily suspended its staking service and received a $30 million penalty from the SEC for improperly registering the business.
All other major cryptocurrencies were also trading lower, with XRP and Avalanche topping the list of losers with a 3% decline, while Polygon, Polkadot, and Cardano each saw a 2% decline.
What The Next Inflation Data Could Mean For The US Dollar’s Bullish Move
The broad-based US dollar has gained momentum and reached a five-week high against major currencies as investors anticipate that the Federal Reserve will keep its tight monetary policy in place for an extended period.
While the rate of inflation is projected to have fallen from the previous month to January, it is still expected to remain high, which could prompt the Federal Reserve to continue tightening its monetary policies.
The S&P 500 and Nasdaq closed up more than 1% as investors bet that upcoming U.S. inflation data would allow the Federal Reserve to slow the pace of interest rate hikes https://t.co/1l9ob7ZTWm pic.twitter.com/kyoqDFi2k5
— Reuters (@Reuters) January 12, 2023
Consequently, concerns about potential Federal Reserve interest rate hikes have significantly affected the performance of cryptocurrencies in recent days, and traders are now waiting for new signals of US economic growth to determine the future direction of the currency.
— Michael J. Kramer (@MichaelMOTTCM) February 13, 2023
The Consumer Price Index (CPI) for January is scheduled to be released on February 14th (today) and is expected to be a significant event in the macro landscape this week. Myles G, a well-known trader, and expert has emphasized the potential consequences for cryptocurrencies if the CPI turns out to be higher than anticipated, stating that this could result in a severe market crash.
Crypto Regulations & Cryptocurrency Market
Coinbase is taking a stand as the US Securities and Exchange Commission continues to take action against cryptocurrency exchanges. According to CEO Brian Armstrong, the company will appear in court to challenge the agency’s actions. Coinbase filed a lawsuit against the government in response to a staking restriction, after a competitor exchange, Kraken, settled with the SEC. Kraken agreed to pay $30 million and discontinue its staking services in the US in exchange for the settlement.
We are witnessing the crypto change, regulation is shaping the crypto road…
— Reglisos (@reglisos) February 12, 2023
According to the SEC Chair, Kraken failed to provide adequate transparency to investors. He cautioned other exchanges to be cautious and properly disclose and register their activities.
UAE to Launch a Central bank Digital Currency
The Central Bank of the United Arab Emirates (CBUAE) plans to introduce a central bank digital currency (CBDC) for both domestic and international use, as the initial phase of its recently launched Financial Infrastructure Transformation (FIT) initiative.
UAE to launch a central bank digital currency (CBDC). pic.twitter.com/QkonZS0RrX
— BINANCE SPOT AND FUTURES SIGNALS (@binancespotTeam) February 13, 2023
It is worth noting that the CBUAE recently announced the FIT initiative, which aims to support the financial services industry in the country. The central bank emphasized that the program will facilitate digital transactions and enhance the UAE’s competitiveness as a hub for finance and electronic payments.
1/ The Central Bank of The UAE (CBUAE) is launching a central bank digital currency (CBDC) for cross-border and domestic use as part of its newly-launched financial infrastructure transformation (FIT) program. #UAE #CBDCs #crypto pic.twitter.com/TmZFxQOS0P
— STORM Partners (@STORM_Partners) February 13, 2023
In addition to a CBDC, the government plans to introduce a unified card payment network to promote the expansion of e-commerce and an instant payment platform to promote financial inclusion and facilitate a cashless society during the initial phase of the program.
As a result, this initiative is expected to be beneficial to the cryptocurrency market in the long run.
Brazil Permits Customers to Use Cryptocurrency to Pay Their Taxes.
A major Brazilian bank has announced a new and convenient option for taxpayers to pay their debts using cryptocurrency. According to a statement released by Banco do Brasil on February 11, Brazilian taxpayers can now pay their tax bill using cryptocurrency through a collaborative initiative with Brazilian crypto business, Bitfy.
— remeeshthilakan (@remeeshthilakan) February 12, 2023
Brazilians who hold cryptocurrency in Bitfy’s custody are eligible to use it, and Bitfy will collaborate with the primary Brazilian bank to facilitate the collection process.
According to the statement, paying taxes using cryptocurrency will be a straightforward process, with taxpayers providing their tax information and the amount in Brazilian reals that needs to be converted into the preferred cryptocurrency to make the payment. This development is expected to be a significant factor in driving the adoption of cryptocurrencies in Brazil.
Best Cryptos to Buy Now
Here are two cryptos we’ve recently reviewed at the presale stage with a lot of potential to grow:
Meta Masters Guild (MEMAG)
Our top cryptocurrency presale for 2023 is the Meta Masters Guild project, which is building the world’s first dedicated Web3 mobile gaming platform. On the first day of the presale, investors contributed over $50,000, bringing the total amount raised to well over $4.3 million, putting the project at the last stage. This surge in investment can be attributed to the anticipation of a price increase in the tokens.
The last stage of the Memag presale is live now!
Get in on the action and secure your spot⚔️
The MEMAG community has raised over $4.2 million!
— Meta Masters Guild (@MEMAGgames) February 13, 2023
Investors are eager to participate in the presale due to the anticipated dramatic increase in value of the native MEMAG currency even before it enters exchanges. While the initial offering price of MEMAG was $0.007, it is expected to increase to $0.023 by the seventh and final stage, representing a 228% gain over the current price.
Fight Out (FGHT)
Fight Out is a move-to-earn platform that rewards users with tokens for exercising. The platform is currently running a presale for $FGHT tokens, giving investors an opportunity to acquire a low-cost asset through an active lifestyle.
$4.1 Million Raised!
WOW! Yet another milestone smashed
Don't forget, the price of $FGHT will keep increasing every 12 hours!
— Fight Out (@FightOut_) February 13, 2023
The $FGHT token presale has already raised over $4.1 million as investors rush to take advantage of incentives worth up to 50% and purchase tokens at a lower price. The presale is scheduled to end on March 31st, with the $FGHT token set to be listed on CEX exchanges on April 5th. The listing price for $FGHT is expected to be 1 $FGHT = 0.0333 USDT.
Fight Out - Next 100x Move to Earn Crypto
- Backed by LBank Labs, Transak
- Earn Rewards for Working Out
- Level Up and Compete in the Metaverse
- Presale Live Now - $4M+ Raised
- Real-World Community, Gym Chain