Last week, some companies fired workers, while regulators launched new investigations. BTC and altcoins may be affected by these situations. cryptocoin.comWe have compiled 10 events that can affect cryptocurrencies for you.
BTC and altcoins may be affected with new announcements
As the crypto winter is now starting to feel like an ice age, layoffs and new regulatory investigations may continue to be in the news after a string of announcements and reports in the first week of January.
Solana had a good week, with the token gaining about 37%, but it’s unclear whether it can sustain the momentum. If you are looking for an event to attend or follow, Metavsummit kicks off on January 12 in Dubai, while the Crypto Finance Conference will take place on January 11-13 in St. It will be held in the city of Moritz. Along with these, other events that can affect altcoins are as follows:
- Tuesday, January 10
- Speech by Fed Chairman Jeremy Powell (17:00 CET)
- Wednesday, January 11
- GLMR unlock ($14.7M)
- Thursday, January 12
- European Central Bank (ECB) monthly report (08:00 CET)
- US Consumer Price Index (CPI) data will be announced. (16.30 TSI)
- Applications for U.S. Unemployment benefits. (16.30 ET)
- Aptos (APT) unlock ($17M)
- Friday, January 13
- SEC’s last day to respond in Grayscale’s Bitcoin ETF lawsuit
Will layoffs continue?
NFT platform SuperRare was one of the latest web3 companies to announce layoffs on Friday, saying it will lay off 30% of its staff. While SuperRare said it grew ‘with the market’ in its last bull run, the company admitted it was hiring extra.
Singapore-based crypto exchange Huobi also confirmed last week that it will lay off about 20% of its staff. It has also been reported that Genesis Trading has launched a new round of layoffs to reduce its workforce by 30%.
Crypto-friendly bank Silvergate also said it would lay off 40% of its staff in the event of an ‘ecosystem-wide crisis of trust’. According to a report, Digital Currency Group is shutting down HQ Digital, a subsidiary focused on wealth management that it started last year.
Who is the target of the investigations?
As politicians and regulators scramble to take action amid the continuing fallout of the FTX crypto exchange collapse, there have been a slew of reports of new investigations. If it’s a risky time to work in the crypto industry, the regulatory front certainly looks promising in terms of job security.
The Washington Post on Saturday reported that US authorities have requested information from investment companies related to cryptocurrency exchange Binance as part of a long-running investigation into possible violations of money laundering regulations.
Meanwhile, Bloomberg News reports that US authorities are investigating the flow of funds between Digital Currency Group and its Genesis lending subsidiary, while Reuters says the US Securities and Exchange Commission has asked FTX investors for details on due diligence policies and procedures.
Will BTC and altcoins be affected?
After significant sales over the past year, most cryptocurrencies are now trading in the green as the first week of 2023 comes to an end. In particular, some assets are trying to expand the momentum leading to a mini rally as a basis for long-term gains. Solana had a good week after a very, very bad year. The native token has rallied a bit over the past seven days, up 37%, according to TradingView data.
😩 With #crypto market caps bouncing very much in independent directions, we're seeing notably euphoric crowd sentiment on $XRP & $ETH. Traders are less interested in $BTC, $BNB, & $ADA. Historically, #bearish sentiment projects perform better on average. https://t.co/bU3eilpyty pic.twitter.com/fQyreiWjUa
— Santiment (@santimentfeed) January 8, 2023
According to a tweet from market intelligence platform Santiment, the market cap of all cryptocurrencies in the cryptocurrency market has ‘bounced too much in independent directions’. According to their analysis, traders are less interested in Bitcoin and Binance Coin due to the ‘enthusiastic crowd feeling’ for Ripple, Ethereum and Cardano.
However, analyst Michael Van De Poppe highlighted next week’s Consumer Price Index (CPI). The analyst said in a statement:
“Unemployment showed a positive figure today as it was lower than expected. however, it fell below 50 for the first time since 2008 and the COVID-19 pandemic. Unemployment will rise in the coming months. If the CPI is low, yields will fall off the cliff. A relief rally is near.”
