Global markets are on tenterhooks ahead of a Federal Reserve interest-rate decision and key US inflation figures. Bitcoin investors have reason to be particularly alert for potential volatility.
A 30-day correlation between Bitcoin and the US 10-year Treasury yield is at minus 53, one of the most negative readings in data compiled by Bloomberg since 2010. The metric suggests the largest digital asset at present is moving in the opposite direction to the benchmark bond yield to an unusual degree.
Bonds may be buffeted by the inflation data and Fed policy outlook, which are both due in the space of a few hours on Wednesday. The correlation study hints at the risk of Bitcoin being tossed around in the Treasury market’s wake.
Bitcoin wobbled on Tuesday, sliding as much as 3.2% to a one-week low and hovering at $67,780 as of 8:38 a.m. in London. Smaller tokens such as Ether and meme-crowd favorite Dogecoin also nursed losses.
Bitcoin hit a record of $73,798 in mid-March, lifted by inflows into dedicated US exchange-traded funds. But it struggled for new highs in the past three months. For Tony Sycamore, a market analyst at IG Australia Pty, Bitcoin’s recent failed attempts to crack all-time peaks rings “alarm bells.”
“The lack of upside progress in recent weeks is concerning given the significant inflows into Bitcoin ETFs recently which have thus far failed to turn the dial,” Sycamore said. “The next 36 hours is going to be crucial.”
A net $15.6 billion has poured into the ETFs since their January launch. On Monday, $65 million was pulled from the products, snapping a run of 19 straight days of subscriptions, according to data compiled by Bloomberg.
The inflation data are expected to show price pressures running well ahead of the US central bank’s comfort zone. At the turn of the year, investors were wagering on a slew of Fed rate reductions, but now the debate is whether future easing will amount to only a smallish tweak of policy.
An outlook of higher for longer borrowing costs could be a challenging backdrop for a speculative asset like Bitcoin, which has already more than quadrupled since the start of 2023 in a comeback from a deep bear market.
Fairlead Strategies LLC technical analyst Katie Stockton in a research note flagged “neutral” short-term momentum for the digital token based on chart patterns, while adding that long-term prospects are more positive.
The crypto market “is like a junkie that constantly needs bullish news to stay up,” said Anand Gomes, co-founder of Paradigm, a derivatives platform. “So when there is none, the path of least resistance is lower.”
Rajesh Markan earlier this year pleaded guilty to one count of criminal fraud related to his sale of fake investments to 10 clients totaling $2.9 million.
From building trust to steering through emotions and responding to client challenges, new advisors need human skills to shape the future of the advice industry.
"The outcome is correct, but it's disappointing that FINRA had ample opportunity to investigate the merits of clients' allegations in these claims, including the testimony in the three investor arbitrations with hearings," Jeff Erez, a plaintiff's attorney representing a large portion of the Stifel clients, said.
Chair also praised the passage of stablecoin legislation this week.
Maridea Wealth Management's deal in Chicago, Illinois is its first after securing a strategic investment in April.
Orion's Tom Wilson on delivering coordinated, high-touch service in a world where returns alone no longer set you apart.
Barely a decade old, registered index-linked annuities have quickly surged in popularity, thanks to their unique blend of protection and growth potential—an appealing option for investors looking to chart a steadier course through today's choppy market waters, says Myles Lambert, Brighthouse Financial.