Bitcoin and Ether fell in Wednesday morning trading in Asia, along with the other top 10 non-stablecoin cryptocurrencies as investors seemed to be taking profits after the strong gains since the start of the year.
- Bitcoin traded 1.3% lower at US$22,688 in the 24 hours to 8:45 a.m. in Hong Kong, but was still up 6.8% in the past calendar week. Ether fell 4.6% to US$1,555, losing 1.2% for the week, according to data from CoinMarketCap.
- Polkadot fell 6.7% to change hands at US$6.15, the biggest drop on the top ten list. The token is still up 2.8% on the week.
- Solana lost 5.7% to change hands at US$22.92, bringing weekly losses to 0.2%. Cardano slipped 5.7% to trade at US$0.35, though was still up 2.1% for the week.
- The total crypto market capitalization over the 24 hours fell 2.2% to US$1.03 trillion, while trading volume dipped 6.4 % to US$52.7 billion.
- In U.S. equity markets, the Dow Jones Industrial Average rose 0.3%, while the S&P 500 Index lost 0.1%. The tech-heavy Nasdaq Composite Index closed the day down 0.3%.
- Software giant Microsoft Corp reported better-than-expected earnings for the December quarter, but the shares later fell 1.4% to US$238.75 as the company’s earnings guidance for the next quarter disappointed.
- The composite Purchasing Manager’s Index (PMI) for January released on Tuesday showed private sector demand contracting, with companies highlighting subdued customer demand and inflation denting client spending.
- Last month, the U.S. Federal Reserve raised interest rates by 50-basis points to between 4.25% and 4.5%, the highest in 15 years, to try and slow inflation. Fed members will be in a so-called blackout period before they meet to decide the next move on interest rates on Jan. 31 – Feb. 1. Analysts from CME Group predict a 99.8% chance of an increase of 25 basis points.