NAGAX Weekly Recap 25 July – 29 July
It was a very important week for the global economy 💰 as we learned about another Fed rate hike and a decline in US GDP growth. More and more crypto-enthusiasts and investors are talking about an economic recession.
How will this affect the cryptocurrency market? Let's look into it! 👀
We've put together a weekly roundup of news about Bitcoin, altcoins and NFT on NAGAX. Check it out. 👇
What will drive a real Bitcoin rally?
Bitcoin is up again after the U.S. Federal Reserve announced that it’s raising interest rates by 75 basis points to combat persistent inflation, meeting and exceeding expectations.
Bitcoin responded by rising 10% in the immediate hours after the announcement and more than 5% on Thursday at one point to rise over $24,000 for the first time in more than a week.
Seeing the entire board in green is a nice change from the bear markets: a sea of red and daily declines. But the $24,000 threshold is a long way from where we all thought it would be given the institutional support and interest it has.
An insight into inflation and how it moves the crypto market
Crypto is volatile and can carry additional risk rather than the more traditional asset classes, especially in these times of economic and geopolitical uncertainty. Even though we have seen quite some positive momentum in the last couple of weeks, the crypto markets are still a far cry away 😭 from last year’s all-time highs.
As there is still so much uncertainty in the global economy, diversification in portfolios is key to keeping your investments as sound and risk-averse as possible.
Ethereum leads crypto rally on software-upgrade optimism
Cryptocurrencies rallied, with Ethereum-related tokens leading gains, as risk aversion eases and optimism grows about the long-anticipated software upgrade of the blockchain network. Ether, the native token of Ethereum, jumped as much as 11% to $1,783, and surged 29% on an intraday basis since Tuesday, the biggest two-day gain since January 2021.
The rally signals growing confidence that Ethereum’s move from the current system of using miners to a more energy-efficient system using staked coins is nearing. The switch to this so-called proof-of-stake system is expected to take place in September.
Epic Games CEO Tim Sweeney refuses to ban NFTs on Epic Games Store
Tim Sweeney has made his position clear on the subject of banning NFTs on his Epic Games Store: “definitely not”. His response came in the wake of a dramatic 24 hours in the world of gaming, where Mojang Studios banned all NFT integrations on its Minecraft platform.
Tim Sweeney subsequently came under pressure from a section of the gaming community, who were baying for NFT blood.
In response, Sweeney said: “Developers should be free to decide how to build their games, and you are free to decide whether to play them. I believe stores and operating system makers shouldn’t interfere by forcing their views onto others. We definitely won’t.”
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