Bitcoin Stays Above $40,000

A 25 Basis Point Rate Hike is Baked In

The latest moves in crypto markets, in context March 17, 2022 Supported by     Was this newsletter forwarded to you? Sign up here.  Good morning, and welcome to First Mover. Here's what's happening this morning: Market Moves:  Bitcoin held above the $40,000 level on Thursday amid a broader uptick in global equities as the U.S. Federal Reserve (Fed) hiked rates by 0.25% on Wednesday as expected. Fed chair Jerome Powell signaled the U.S. economy was "very strong" and could handle monetary tightening, causing a jump in equities. Meanwhile, the Bank of England holds its policy today, and is expected to raise interest rates to their pre-Covid levels. And check out the CoinDesk TV show "First Mover," hosted by Christine Lee, Emily Parker and Lawrence Lewitinn at 9:00 a.m. U.S. Eastern time. Today's show featured these guests: Raghu Yarlagadda, CEO, FalconX Robert Leshner, founder, Compound Labs Carole House, director of cybersecurity and secure digital innovation, White House national security council Today's newsletter was edited by Shaurya Malwa and produced by Parikshit Mishra. Market Moves By Shaurya Malwa The U.S. Federal Reserve (Fed) hiked rates by 0.25% on Wednesday as expected.   Fed chair Jerome Powell signaled the U.S. economy was "very strong" and could handle monetary tightening, causing a jump in equities. Meanwhile, the Bank of England holds its policy today, and is expected to raise interest rates to their pre-Covid levels.   U.S. futures shed 0.51% in European hours while crude oil jumped 4% to near $100. Europe's Stoxx 600 rose 0.22%, while Asian markets added a second day of gains with Hong Kong's Hang Sang index rising 7% and Japan's Nikkei 225 increasing 3.46%.   Bitcoin added nearly 4% over the past 24 hours to trade at $41,640 before traders took profits. Ether added 4.7% to weekly highs of $2,790, while Terra's LUNA lost 0.6% in 24 hours.   Investors tied ether's gains to successful testing on the Ethereum network ahead of its move to a proof of stake network.   "Ethereum showed bullish movements on the back of its successful merge on the Kiln testnet, a fundamental milestone in its path toward the transition to proof of stake in the course of the year," said Fabio Pezzotti, founder of crypto investment firm Iconium, in a Telegram message "We expect the main assets to gain momentum amid positive developments regarding a ceasefire in Ukraine, which would likely revert the bearish trends of the last few months," he added.   Meanwhile, some analysts said strength in bitcoin was buoyed by positive sentiment for the asset among traders.    "Since the last days of February, there has been a solid support line on the declines under $38,000, "explained Alex Kuptsikevich, market analyst at FxPro, in an email to CoinDesk. "And this is bullish strength, reflecting that long-term buyer interest has migrated from $30,000 to $38,000 due to inflation and geopolitical tensions." Goldman Sachs' U.S. Financial Conditions Index (Source: Cheap Convexity, Bloomberg) Investors, you deserve a Spot Bitcoin ETF.   Since its inception in 2013, Grayscale has never stopped working towards converting Grayscale Bitcoin Trust (symbol: GBTC) to a Bitcoin ETF. If you support the conversion, write to the SEC by clicking here.    Your submission matters because: We can level the playing field. To date, the SEC has only permitted Bitcoin Futures ETFs, while rejecting "physically-backed" or Spot Bitcoin ETFs.   The choice should be yours. If you've been waiting for the familiarity and protections of a Bitcoin ETF, we believe you should not be forced into a Futures-based product simply because it's the only one that exists.   You can help take GBTC to the next level, conversion to an ETF. It's already the world's largest Bitcoin fund and regularly reports to the SEC on a voluntary basis as an SEC-reporting company.   Learn more here. This information should not be relied upon as investment advice or a recommendation regarding any security. Visit here for important disclosures. Crypto Prices Bitcoin (BTC) See the latest price here Ether (ETH)  See the latest price here The following are the biggest movers in the CoinDesk 20 digital assets over the past 24 hours: Biggest Gainers: Asset Ticker Returns Sector Cosmos ATOM +3.9% Smart Contract Platform Solana SOL +3.7% Smart Contract Platform Chainlink LINK +3.5% Computing Biggest Losers:  There are no losers in CoinDesk 20 today. Sector classifications are provided via the Digital Asset Classification Standard (DACS), developed by CoinDesk Indices to provide a reliable, comprehensive, and standardized classification system for digital assets. The CoinDesk 20 is a ranking of the largest digital assets by volume on trusted exchanges.  It's never been easier to earn interest on Bitcoin and Tether with BitMEX EARN. Enjoy up to 10% APR on Tether and 4% on Bitcoin, fully backed by the BitMEX Insurance Fund.    With new products, reliable security, and responsive customer service, there's never been a better time to join BitMEX. Start earning interest today by subscribing to EARN here.    BitMEX products and services are not available to US Persons and in other specified jurisdictions. Latest Headlines EU Regulators Warn Consumers That Crypto Assets are 'Highly Risky' Crypto Miner Hut 8 Reports Surprise Q4 Loss, Shares Fall Eqonex Appoints Former Head of Binance UK Jonathan Farnell as CEO Bitcoin Holds Above $40K After Fed Hike, Avalanche's AVAX Leads Gains Amongst Crypto Majors Bitcoin-Focused VC Stillmark Hires Former Google X Engineer Vikash Singh We Voted on It, and You're Fired. Welcome to the New World of DAOs Riot Blockchain Sees 2022 as Year of Consolidation in Bitcoin Mining Sector ICYMI In case you missed it, here are the most recent episodes of "First Mover" on CoinDesk TV:   Investors Await Fed Interest Rate Decision Today, Crypto Industry on Defensive in Ukraine Crisis, Metta World Peace Launches NFT Collection The Federal Reserve is expected to raise the interest rate by 25 basis points to tame soaring inflation in the U.S. Ben Emons of Medley Global Advisors joins "First Mover" to share his readings on the pulse of the U.S. economy and global markets. Rebecca Rettig of Aave weighs in on the role of crypto exchanges in the Ukraine crisis amid calls for compliance with Russia sanctions. Plus, former NBA star Metta Sandiford-Artest (formerly Metta World Peace) on celebrity endorsement of NFTs. Disclaimer: The information presented in this message is intended as a news item that provides a brief summary of various events and developments that affect, or that might in the future affect, the value of one or more of the cryptocurrencies described above. The information contained in this message, and any information liked through the items contained herein, is not intended to provide sufficient information to form the basis for an investment decision. The information presented herein is accurate only as of its date, and it was not prepared by a research analyst or other investment professional. You should seek additional information regarding the merits and risks of investing in any cryptocurrency before deciding to purchase or sell any such instruments.  First Mover A newsletter from CoinDesk Were you forwarded this newsletter? 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