Bitfinex Alpha; Bitcoin proves to be digital gold amid inflation chaos?

 

Bitfinex Alpha; Bitcoin proves to be digital gold amid inflation chaos?

Christine Lagarde, president of the European Central Bank, announced an unprecedented 75 basis point rate hike amid the energy crisis, rampant inflation, weak euros and worryingly low earnings data from equity markets.

September - As we said several times in this newsletter - is a pivotal month:

 Markets focus on the next FOMC meeting in two weeks and important economic reports such as inflation data and consumer confidence reports to be presented between them. Signs of entrenched inflation will drive markets lower, but a glimmer of hope in the data will be a cause for relief.

As we discussed the issue of U.S.

 inflation for several weeks at Bitfinex Alpha, this week, we delve into Europe's struggle to tame inflation. We also provide data-supported insights into three major threats facing European companies in the current economic landscape.

In the world of cryptocurrencies

• There is a great focus on Ethereum Merge. In our On-Chain section

• We track chain-related portfolios and open interest data to explain the current increase in activity on the chain and the high price fluctuations that led to the merger.

• We compare BTC and ETH flows to draw conclusions about market direction as we approach Ethereum's historic update.

• We also monitor whale behaviour to highlight discounts currently available on ether accumulated across various protocols, central and decentralized services.

the Federal Reserve and the European Central Bank

Which focus heavily on data, simplify their procedures based on inflation data, we use correlation data to reassess how bitcoin is digital gold (perhaps the most rare of all hazardous assets) in a hiking cycle.

We have also analyzed the supply patterns available in Bitcoin portfolios with more up-to-date and effective metrics. Wallet tracking reveals how much accumulation originally occurred over the past few months.

In cryptocurrency news

• Concerns about a ban on cryptocurrency mining continue to loom in the United States.

• We have also included an update to the Voyager mode where the cryptocurrency lender continues to work its way out of bankruptcy.

• Finally, the geopolitical significance of cryptocurrencies continues to increase as Russia plans to use stablecoins for all settlements across borders.