First Mover Asia: Bitcoin is CPI Resistant
Good morning. Here’s what’s happening:
Prices: Bitcoin and ether are opening flat in Asia trading, seemingly unaffected by recent Consumer Price Index (CPI) numbers.
Insights: Coinbase recently likened cryptocurrencies to Beanie Babies, questioning their future in finance. Meanwhile, analysts project that real-world asset tokenization could become a $5 trillion industry, but warn that without specific changes, tokenization won’t significantly evolve finance.
Bitcoin and ether are opening the Asia trading day flat, as the two largest cryptocurrencies continue to shake off macro waves.
Bitcoin (BTC) is beginning the Asia business day down 0.4% to $29,451, while ether (ETH) is down 0.1% to $1,851.
Crypto seems unaffected by the latest Consumer Price Index (CPI) numbers, which showed a modest amount of CPI growth that was in line with what economists predicted.
In July, the Consumer Price Index (CPI) rose 0.2%, and Core CPI, excluding food and energy, increased 0.2%. The year-over-year CPI rose 3.2%, and Core CPI rose 4.7%, leading to a reduced likelihood of a Federal Reserve interest rate hike in September, as part of an ongoing policy to combat inflation.
Aside from macroeconomic factors, analysts continue to wonder why bitcoin won’t budge above $30,000.
As CoinDesk recently reported, analysts and stakeholders at crypto trading firms continue to point to the uncertainty over SEC approval of a spot bitcoin ETF, miners taking profits ahead of the Bitcoin halving, a dearth of new retail market participation, and strong resistance in derivatives trading, all contributing to a tight trading range and suppressed volatility.
Even though many adrenaline-addicted crypto traders might be missing volatility, bitcoin is surely looking like a good store of value these days.
Biggest Gainers
Biggest Losers
Is Coinbase Disillusioned With Crypto?: The exchange recently argued that cryptos are like Beanie Babies. So does it still think Bitcoin and Ethereum are the future of finance?
How Crypto Tokenization Can Go Wrong (and How to Make It Right): Real-world assets could become a $5 trillion industry, analysts project. But without certain changes, tokenization won’t be a meaningful evolution in finance.
In case you missed it, here is the most recent episode of “First Mover” on CoinDesk TV:
Willkie Farr & Gallagher LLP Counsel Michael Selig discusses the SEC saying it will file an “interlocutory appeal” of a judge’s ruling on Ripple’s programmatic sales of XRP.
Metaverse Platform Sandbox Transferred Out 60M SAND Ahead of Monday’s $133M Token Unlock: As the price of SAND slid 4% in August, the Sandbox Genesis smart contract had emitted 60 million SAND tokens prior to the upcoming token unlocked scheduled for Aug. 14.
Congresswoman Maxine Waters Says She’s ‘Deeply Concerned’ About PayPal’s New Stablecoin: The top Democrat on the House Financial Service Committee said federal rules should be in place before a company the size of PayPal issues a stablecoin.
Digital Currency Group Files to Dismiss Crypto Exchange Gemini’s Fraud Claims: DCG called Gemini’s July complaint a continuation of a “public relations campaign” carried out by the exchange’s owners, Cameron and Tyler Winklevoss.
Edited by Rosie Perper.
