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Ethereum, Bitcoin Rises, As US Inflation Uncertainty Fades – Bitcoin News

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Ethereum traded higher on Friday, as market volatility eased, following the recent US inflation report. Core inflation rose 0.6%, with consumer prices rising to 8.2%, higher than expected 8.1%. Despite this, it appears that traders have breathed a sigh of relief, as the uncertainty surrounding the report has now passed. Bitcoin approached $20,000 in the news.

Bitcoin

Bitcoin (BTC) towards the $20,000 level on Friday, as uncertainty subsided in the cryptocurrency markets, following the recent US inflation report.

Although consumer prices rose more than expected, markets reacted positively, as speculation surrounding the report evaporated.

As a result of the report, BTCThe US dollar rose to an intraday high of $19,835.17, less than 24 hours after trading as low as $18,642.11.

Bitcoin, Ethereum Technical Analysis: Ethereum, Bitcoin Rise, As US Inflation Uncertainty Fades
BTC/ USD – daily chart

This rally has seen a shift in momentum once again, with many indicators now tilting more towards bullish territory.

The 14-day Relative Strength Index (RSI) is now back above the 50.00 mark, tracking at 51.54 at the time of writing, and is likely on its way to a cap at 55.00.

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If this point is reached, we will likely see Bitcoin not just above $20,500, but approaching $20,500.

Ethereum

Ethereum was also higher in today’s session, as the coin once again surged above $1,300, hitting a major resistance point in the process.

ETHThe US dollar rose to a high of $1,335.10 earlier in the day, and collided with a major resistance level, at the same point in the process.

This is the highest point at which the world’s second largest cryptocurrency has traded since the beginning of the week.

Bitcoin, Ethereum Technical Analysis: Ethereum, Bitcoin Rise, As US Inflation Uncertainty Fades
ETH/ USD – daily chart

However, since this high was reached, prices are now marginally lower with the coin now trading at $1,328.51.

As can be seen from the chart, this comes with the RSI colliding with its own resistance point, which is the 46.50 mark.

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For Ethereum to continue rising, price strength will need to move above this current ceiling.

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Do you expect the bullish pressure to continue over the weekend? Put your thoughts in the comments below.

Eleman Dambel

Offering an eclectic view of market analysis, Elleman was previously a brokerage director and retail educator. He currently works as a commentator across various asset classes, including Crypto, Stocks, and FX.

photo credits: Shutterstock, Pixabay, Wikicommons

disclaimer: This article is for informational purposes only. It is not a direct offer or solicitation of an offer to buy or sell, or a recommendation or endorsement of any products, services or companies. Bitcoin.com It does not provide investment, tax, legal or accounting advice. Neither the Company nor the author shall be liable, directly or indirectly, for any damage or loss caused or alleged to be caused by or in connection with the use of or reliance on any content, goods or services mentioned in this article.

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Sam Bankman-Fried is dealing with an $8 billion balance sheet deficit

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The entire cryptocurrency market suffered multiple losses and asset depreciation after the collapse of Sam Bankman Fried cryptocurrency exchange FTX. Additionally, cryptocurrencies exposed to FTX have had their fair share of bitter pills.

Investigations were underway to locate the $8 billion hole in FTX’s balance sheet, which caused the liquidity crisis.

FTX’s balance sheet deficit continued to grow. The company initially announced only $2 billion and later said it was $5 billion. The hole has now grown to more than $8 billion.

In a recent interview with Bloomberg, Sam Bankman-Fried (SBF), the former CEO of FTX, revealed the whereabouts of the funds. The SBF said it showed investors a separate balance sheet in an emergency bailout.

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According to the ReportSBF listed $8.9 billion in debt, $9 billion in liquid assets, and $15.4 billion in liquid assets. The report also mentioned $3.2 billion in illiquid assets.

Sam Bankman-Fried reveals conflicting balance sheets

He disclosed another balance sheet showing the actual situation at the time of the bailout meeting. The balance sheet carries similar numbers but $8 billion less in liquid assets. The SBF said it misquoted the numbers.

He added that customers were transferring money to Alameda Research instead of sending it directly to FTX. According to his statement, FTX’s internal audit system double-counted the amount and credited it to both companies.

After the SBF statement, FTX and Alameda Research had the highest cash flow, but Binance, the competitor, had the highest cost. He paid $2.5 billion net worth to buy Binance investments. The SBF also revealed that it spent $250 million on real estate and about $1.5 billion on other expenses.

About $4 billion and $1.5 billion went to venture capital investments to acquire other companies, while it miscalculated $1 billion.

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The report also stated that the SBF and the remaining staff had spent the previous weekend trying to raise money. The funds will fill the $8 billion hole in FTX’s balance sheet and reimburse clients.

The reason for the collapse of FTX: fraud or mismanagement?

Meanwhile, most people in the crypto space say that the FTX crisis is a scam, not a coincidence. On Wednesday, during his first public appearance after the collapse of FTX, Bankman-Fried insist on He did not commit fraud. He claimed he was unaware of the extent of the damage and what was going on with FTX.

In an interview with The New York Times, the SBF blamed the collapse of the $32 billion exchange FTX on poor accounting and management failures. This comment sparked civil and criminal investigations. The investigation aims to determine whether FTX committed a crime by lending client money to Alameda Research.

Cryptocurrency market records new gains | Source: Crypto Total Market Cap on TradingView.com

However, FTX’s new CEO, John Ray III, who is in charge of the company’s bankruptcy proceedings, expressed his disgust at the situation. In his words, Ray said he had never seen such a complete failure of corporate control, and condemned the SBF for its unacceptable management practices.

Featured image from Texas Tribune, chart from TradingView.com

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Everything Bubble: Markets at a Crossroads – Bitcoin Magazine

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Below is an excerpt from a recent issue of Bitcoin Magazine Pro, Bitcoin Magazine Premium Markets Newsletter. To be among the first to receive these insights and other on-chain bitcoin market analysis straight to your inbox, subscribe now.

Powell’s Speech and Contracting ISM PMI

We want to zoom out, revisit and analyze some of the latest data that came out this week, which will greatly influence the direction of the market over the next few months.

After Jerome Powell’s Brookings speech, markets are clearly chomping a bit to move higher with any possible pivot scenario and narrative from the Fed. There is over-hedging, short-squeezing, options market dynamics and forced buying. This goes beyond our experience to say exactly why markets explode with volatility at any given data point or Powell’s new speech. However, these types of events and market movements have almost always been a sign of unhealthy and growing volatility in bear markets. Despite more talk from Powell with nothing really new to say, the speech was seen by markets as “more dovish” with his comment about worrying about excessive rate hikes. However, if this is yet another bear market rally forming for the major indices, we’re apparently close to turning that high again.



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Price Analysis 12/2: BTC, ETH, BNB, XRP, ADA, DOGE, MATIC, DOT, LTC, UNI

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Bitcoin and altcoins are starting to signal a possible trend change, but there are still a few downside risks.

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