Continuing with recent patterns, even the most modest of crypto gains experienced waves of selling on Thursday, sending bitcoin Back to $88,000 after a rally above $93,000 hours before.
The move Higher started on Wednesday evening in the US after NVIDIA (NVDA) Calmed Jittery Markets with lost income and Rosy Outlook. In addition to boosting the battered crypto, the NVDA results sent the NASDAQ higher by more than 2%.
Stocks also quickly reversed their gains, with the NASDAQ now just 0.3% higher. Even the mighty nvidia is trading flat after being over 5%.
The hurt sentiment at the macro level continues to be ideas that the Fed, for now, appears set not to cut interest rates at the December meeting. The September employment report (released today instead of weeks ago due to the government shutdown) showed a stronger than expected 119,000 jobs were added that month.
Also leading the Hawk, Cleveland Fed President Beth Hammach, is on the wires suggesting that not only is perky inflation not a reason to cut rates, but high stock prices are also a concern. Market veterans hear echoes of Alan Greenspan’s “irrational speech” of 1996. Stocks continued to rally strongly for four more years.
Harder hit than Bitcoin was Ethereum’s ether now at nearly 4% over the past hour, perhaps weighed down by Digital Asset Treasury FG Nexus selling a chunk of its holdings To buy some of its battered stock (down more than 95% from summer high).
A check of crypto-related stocks now finds big losses after opening gains. Michael Saylor’s strategy (MSTR) is down another 4.7% and off 62% year-over-year to a new 52-week low of $178. Coin (barya) and gemini (gemi) exchanges are down 4% and 5%, respectively, and stabecoin issuer circle (CRCL) is down 3.5%.
