• In 2022, the crypto market had a difficult year due to Terra Luna and Celsius declaring bankruptcy, as well as the founder of FTX being detained on suspicion of fraud.
• Bitcoin is currently trading just above $22,000, with Ethereum staying over the $1,500 mark.
• Regulatory changes and upcoming Fed meetings are influencing the current crypto market.
Overview
This article examines how the crypto market has been affected by events such as Terra Luna and Celsius declaring bankruptcy, as well as the founder of FTX being detained on suspicion of fraud. It also discusses Bitcoin’s current price along with Ethereum’s price and explains why regulatory changes and upcoming Fed meetings could influence the current cryptocurrency market.
Crypto Market in 2022
In 2022, the crypto market had a difficult year due to Terra Luna and Celsius declaring bankruptcy, as well as the founder of FTX being detained on suspicion of fraud. About a third of Bitcoin’s previous year’s value was left at that time; however, some ardent supporters were still fighting for its survival amid fear that it may vanish completely.
Current Price Levels
Monday’s early Asian trading hours saw a modest decline in cryptocurrency prices. The frontrunner cryptocurrency – Bitcoin – kept trading below the $22,000 level while Ethereum managed to stay over the $1,500 mark. On Saturday most cryptocurrencies experienced a correction which drove Bitcoin down below $22k support level suggesting it is in a negative trend. Currently XRP and Avalanche have dropped 3%, with Polygon dropping 2% while Polkadot and Cardano both dropped 1%.
Influences on Crypto Market
Regulatory changes are having an effect on Cryptocurrency prices: US-based Kraken exchange temporarily suspended its staking operation following receipt of a $30 million punishment from SEC for improper registration business leading to a slight decrease in prices across cryptos. Moreover, investors await clues about Fed’s monetary policy outlook at its upcoming meeting which could further affect crypto markets if they decide to raise or lower interest rates or introduce quantitative easing measures etc.,
Conclusion
The recent events have caused volatility in cryptocurrency markets; however there is still hope that 2023 will be an era for rebound despite fears that Bitcoin may vanish completely. Regulatory changes coupled with upcoming fed meeting could further affect prices across cryptos; however nothing can be said for certain until these events pass by without any major disruption in prices across cryptos or new regulations come into play affecting their pricing behavior going forward
