FameEX Morning Crypto News Recap | August 9, 2024

The Fed's Balance Sheet Reduction Nears Conclusion, Tied to Interest Rate Cuts and Market Pressures

The Fed is nearing the end of its balance sheet reduction, with the timeline dependent on the pace of interest rate cuts and financing market pressure. Policymakers suggest U.S. debt holdings reduction could conclude by year-end, though Wall Street anticipates that quantitative tightening won't end abruptly.

Bitcoin Miners' Holdings Drop to Lowest Level in Three Years

As of August 3, Bitcoin miners' holdings have fallen to approximately 1,510,300 BTC, a 2.4% decline from the December 2020 peak, marking a three-year low. Additionally, a software upgrade in April significantly reduced miner revenue, pressuring them to sell more cryptocurrencies.

The United States Dominates 35% of Bitcoin Hash Rate

Ki Young Ju, founder and CEO of CryptoQuant, stated that the United States controls 35% of the Bitcoin hash rate. Meanwhile, Russia appears to be making efforts to catch up, as FOMO (Fear of Missing Out) at the national level intensifies.

U.S. Jobs Data Lifts Market Sentiment

The U.S. job market boosted stock gains as fewer unemployment benefit applications were filed than expected, alleviating recession fears. However, Wall Street remains cautious, concerned that if economic growth continues to slow and the Federal Reserve doesn't urgently ease monetary policy, U.S. stocks could face greater downside risks.

Greeks.live: Cryptocurrency Losses Paused Last Week, Markets Show Signs of Recovery

Greeks.live macro researcher Adam noted on X that the Bank of Japan's recent hawkish remarks significantly impacted cryptocurrency prices. He emphasized the need to monitor the Bank of Japan's actions this month, as the yen plays a crucial role in global macro transactions. Last week's sharp decline has stalled, and the market is recovering, leading to a drop in implied volatility (IV) for major maturities.

Putin Signs Law Legalizing Cryptocurrency Mining in Russia

On August 8, Russian President Vladimir Putin signed a law legalizing cryptocurrency mining in Russia, as reported by TASS.

Disclaimer: The information provided in this section is for informational purposes only, doesn't represent any investment advice or FameEX's official view.