Steaker Biweekly Bulletin #1 Fed Raised Rates & Ethereum’s Switch to PoS

Sep 15, 2022

Just weeks ago, Steaker conducted an opinion poll in regard to the format of our monthly report. Based on the reading habit and feedback of the majority, the report shall be published on a biweekly basis from this publication on.

We hope to cash in on the desired article length, coupled with a rich supply of information, to help you come to grips with things around the crypto space in no time. In this article, you’ll learn about the current market situations, our popular portfolios, and the latest offers and campaigns.

Market Highlights

💥 Bitcoin Tumbles Below $20K On Powell’s Hawkish Remarks

As of Fed Chair Jerome Powell’s speech to combat inflation at the 2022 Economic Policy Symposium, the crypto market has been in pain. All four major U.S. stock indices were in the red, with Bitcoin plummeting below $20K.

Given the Fed’s projections of persistent inflation and continued rate hikes, and with the crypto markets hyper-sensitive to inflationary trends, bearish sentiment seems to have permeated every section of the market.

According to the stats by CoinGecko, Bitcoin traded below $19K on September 7, hitting its lowest level since June ($17,760) following a further drop to even $18,650 on the same day.

🚀 Crypto Market Is Back to Rally As U.S. Stocks Rebound

Bitcoin’s price had rebounded following the sharp drop to $19K earlier on September 7. At the time of writing, it has exceeded $22K yet still continues to swing between gains and losses.

The cause of the rally is contingent on U.S. stocks bouncing back: The Governing Council of the European Central Bank (ECB) has taken more aggressive measures to raise the three key interest rates by 75 basis points, slightly easing U.S. stock indices that have hit a 20-year high and helping the global stocks rebound.

Given the growing correlation of the crypto market between the stocks and macroeconomic policies, Fed’s hawkish stance towards monetary policy along with the macroeconomic conditions in the future is bound to exert influence on the crypto market.

📉 CPI Triggers U.S. Stocks and Crypto Market Meltdown

The release of the August consumer price index (CPI) on September 13 has sent U.S. stocks and the crypto market alike to new lows.

Inflation still remains high as CPI soared by 8.3% over last year. As the inflation overshot the estimates, Bitcoin’s disastrous losses ensued, shedding $1K in just a few minutes and tanking by 11.4 % in USD value within just one day following the release of the report.

With major cryptocurrencies like Bitcoin breaking its 6-day winning streak, the odds of another huge 75 bps hike by the Fed on September 21 heightens.

🚨 A Significant Upgrade in the History of Cryptocurrency: The Merge

It’s not surprising that all crypto enthusiasts’ eyes were on Ethereum’s Merge last week. The first phase of the merge – Bellatrix Upgrade – was completed on the evening of September 6, while the second phase – Paris Upgrade – is expected to come about this week on September 15. The shift will reduce the network’s energy consumption on a massive scale.

Ethereum has continued to fluctuate between $1.5K and $1.7K as of this September, and based on its current price, the gains of Ethereum aren’t too different from those of Bitcoin as the market benchmark.

Considering the potential risks of the Ethereum Merge, the price of ETH still remains to be seen owing to investors’ uncertainty as to whether it can successfully migrate to the PoS system.

🪙 Prices of Major Cryptocurrencies

The last month has seen BTC as low as $18,650, but it also rose up to $24,995. On the other hand, the lowest and highest price for ETH last month were $1,433 and $2,024 respectively. (Span: 11 August to 12 September)

To safeguard users’ rights and minimize the risks of investment, Steaker placed the focus on portfolios that can help generate steady income during the bear market.

The recently launched BTC/ETH Standard portfolios – 4% BTC-3 Months & 4% ETH-3 Months – were very much sought after! Within only 6 days the subscription amount had nearly reached 1,000,000 USDⓢ.

And Steaker’s USDⓢ Portfolios, which have long remained the most popular of all, are now available again with the new roll-out – 9.5% USDⓢ-1 Year & 8% USDⓢ-3 Months. These two are limited products: the total amount available 4,000,000 USDⓢ for the previous round was soon fully purchased. For those who failed to make a subscription, do not miss out on the golden opportunity this time!

Also, to celebrate the 3rd anniversary of Steaker, those portfolio subscribers are entitled to the 20,000 USDT Division as their bonuses. The more you subscribe to, the more bonus you get. So, join us now to HODL & BUIDL!