Bitcoin panic 28, out of extreme panic level

The Bank of Canada raised the interest rate by 50 basis points to 1%, completing the rate hike one step ahead of the United States. This also indicates that the US rate hike of 50 basis points in May is basically a foregone conclusion. Fed Governor Waller said that there may be multiple 50 basis point rate hikes in the future. The market has no reaction to this view. Even the US stock market has started a rebound with the crypto market, indicating that the market has fully factored the rate hike into the price. Future rate hikes will not cause a large selling pressure on the market. On the contrary, looking at the previous rate hike cycles, the US stock market is prone to decline only within 3 months of the first rate hike, and the market is basically rising afterwards. At the same time, Waller also mentioned that it is expected that inflation has reached its peak and will begin to fall, indicating that the worst time has passed and the market will bottom out in the future. It is responsible to say that those who sell coins at this time will definitely be leeks. We will go back and verify it at the end of the year.

Russia's annual inflation has risen to 17.49%, the highest level in 20 years. It can be said that the legal currency of many countries is now junk assets, and holding cash will be severely harvested, so embracing Bitcoin has become the only choice for many wealthy people to allocate assets. Even so, the United States is still providing an additional $800 million in military aid to Ukraine, the dispute between Russia and Ukraine will continue, and the monetary environment will continue to deteriorate in the future.

Brazil's bill to regulate cryptocurrencies has been approved, and a unified bill text is currently being drafted. The bill shows that Bitcoin will not become Brazil's legal currency, and a new crypto regulatory agency will be established. It seems that cryptocurrency investment and payment in Brazil will soon be legalized, and another country is about to officially embrace the crypto world.

A candidate for mayor of Gumi City, South Korea, promised that if he is elected mayor, he will receive his salary in Bitcoin. If the promise is fulfilled, the candidate will also become the first official in South Korea to receive Bitcoin salary. Bitcoin has become a way for many politicians to gain public opinion.

US Senator Ted Cruz said that it could make Bitcoin a legal tender, and said that this is an incredibly booming industry. This is a loud enough rhetoric. If the United States recognizes Bitcoin as a legal tender, it will not be far from the attributes of a global currency. If so, the starting price is 1 million US dollars.

Tether CTO said that he plans to further reduce the commercial paper of USDT reserves and convert it into US Treasury bonds. This is the beginning of embracing regulation. If most of its reserves are US Treasury bonds, then his future stablecoin road will be longer.

The CEO of BlackRock said that he is studying digital assets and crypto assets. A big shot of this level will definitely embrace the crypto market as long as he takes a look. Bitcoin is something that those who understand will fall in love with at first sight. Maybe in a few days, the largest asset management company BlackRock will announce that it will start buying Bitcoin.

Crypto asset platform NEXO cooperated with MasterCard to launch a crypto credit card, which gives users credit card limits through the crypto assets pledged by users. This is a deep integration of crypto and tradition. While holding Bitcoin, you can also get a credit card limit, which gives people more liquidity and makes the logic of holding currency more solid.

Rappi, a Mexican instant delivery service provider, said it accepts Bitcoin and cryptocurrencies as payment for orders. The more uses Mexicans have for cryptocurrencies, the more likely they are to abandon their unstable fiat currency.

In the past 30 days, Opensea's sales fell by 67%, LooksRare fell by 80%, and the NFT market cooled down instantly and lost liquidity. Even the NFT of the Twitter founder's first tweet had no one bidding. The highest bid was only $280, which was 100,000 times lower than the expected $48 million. It can be seen how cold the market is.

Panic 28, out of extreme panic level.

Coin News:

Bitcoin: Yesterday’s bullish logics were about short-term trends, so it is expected that rebound opportunities will still exist in the future, but tonight it is likely to see a wide range of fluctuations, and directly breaking through 42,000 will not happen overnight.

Ethereum: Core developers said that the 2.0 merge upgrade will most likely not be completed in June, but it will be completed within the year, which means that 2.0 is likely to be postponed again. Sun Ge recharged 7,100 Ethereum to the exchange yesterday. I don’t know if he can escape at the staged high again this time. We can observe and see. In the short term, Ethereum continues to be stronger than Bitcoin, and the rebound is expected to continue.

GMT: Stepn announced that it has started to buy back and destroy GMT, and plans to invest 10,000 SOL every day until the funds are used up. This announcement makes Kuang Ren feel something is wrong. It feels like the project party is going to withdraw, and it seems more like they are going to use profits to protect the market, lead everyone to rush in, and then they will pay the principal. I don’t know if this guess is right, but you can get a glimpse of it by looking at the market in the next few days.