On January 10, 2022, Bitcoin fell below $40,000, marking the first-ever time it has fallen below that level since August. Also, Ethereum fell below $4,000 for its first time after September. While both have increased steadily since Monday, they are still on a declining trend that began in late December. Some analysts believe this is a low point, citing the Federal Reserve’s recent announcement that it will start to reduce stimulus measures in the face of rising prices and economic recovery. Inflation is at its peak point in 40 years, according to new data released this week, however, it has had no impact on the values of Bitcoin and Ethereum.
Following a disappointing December jobs report, and the release from the Federal Reserve Board’s December meeting, which signalled a winding down of monetary measures to help the economy as it continues to improve, these recent price decreases have occurred. According to a CoinDesk article, there was also a large sell-off of Bitcoin futures.
PayPal, on the other hand, is considering creating its own stablecoin. Changpeng “CZ” Zhao, the CEO of Binance, is said to be one of the world’s wealthiest billionaires. A new scam utilising bitcoin ATMs is on the rise. A group of US institutions is also launching USDF, a new stablecoin.
Here’s some more information on recent cryptocurrency news that traders should be aware of:
- Hackers from North Korea stole almost $400 million in cryptoassets. According to the research, Ethereum accounted for the majority of the funds stolen, followed by altcoins, ERC-20 tokens, and Bitcoin. According to Chain analysis, security analysts believe that a group is known as advanced persistent 38 (APT38), also known as Lazarus Group, was responsible for many of last year’s attacks.
- Dogecoin’s value increased on Friday when Elon Musk announced on Twitter that memecoin could be used to purchase Tesla products. According to CoinMarketCap, Dogecoin has increased over 12% in the last 24 hours to $0.19. It’s the latest sign of how Musk’s tweets can influence cryptocurrency prices, a phenomenon known as the “Elon effect.”
- As per a press release, several US institutions are teaming up to produce their unique stablecoin, which will be known as USDF. New York Community Bank, FirstBank, and Sterling National Bank, all FDIC-insured institutions, are among the original founders of this new stablecoin. USDF is a stablecoin that will be created exclusively by US banks, as opposed to non-bank-issued stablecoins like Tether. USDF “addresses the protection for consumers and regulatory problems of non-bank generated stablecoins and provides a more safe option for trading on blockchain,” according to the press release.
- Consumers should be aware of a “new twist” on cryptocurrency frauds, according to the Federal Trade Commission. Scammers are persuading individuals to send money through bitcoin ATMs by claiming to be from the administration, police enforcement, or a utility company provider, according to the US consumer protection agency. The FTC’s warning comes as cryptocurrency-related crimes are on the rise. According to the latest report from chain data firm Chainalysis, scammers seized $14 billion in cryptocurrency in 2021 alone.
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