In this article from magentabyte, we examine three important cryptocurrency events of the week that can be of great importance.
These events may mark the biggest fluctuations for cryptocurrencies. From Tuesday (13 September 2022), three important events will occur that have a direct impact on digital assets.
The first major event is inflation data
With the release of new inflation data, the market will receive a direct signal regarding future changes in US monetary policies, which will have a strong impact on the cryptocurrency market.
If inflation-related data comes in below market expectations, financial regulators around the world will loosen their grip on measures that directly affect risky assets such as cryptocurrencies. If Bali inflation is at the expected level and the opposite of this scenario happens, we will most likely see another drop.
The second important event of Merge Ethereum
The most important event of this week is the Ethereum market, whose countdown was started by Google. Merge Ethereum, with its fundamental change in the largest cryptocurrency market ecosystem, will definitely have an impact on the market. From now on, we are witnessing many movements and events in the scenes related to the cryptocurrency market. Movements are underway in liquidity-providing platforms, lending markets, and the amount of activity in mining pools.
The volatility of Ethereum is in the medium range until today (13 September 2022) and the price of this coin, after the recent growth of 22%, has experienced insignificant changes.
The third important event is the re-increase of the interest rate
Another interest rate hike should not come as a surprise to financial markets or cryptocurrencies. Because the actions of financial regulatory bodies from around the world have already affected the price and should not lead to an increase in volatility.
Announcing an unexpected level of inflation statistics is a scenario in which we will witness a sudden growth in volatility. High inflation statistics lead to an increase in interest rates by 1 percent. This amount will be 0.25% more than the expected level of many market participants.