Today’s decline in the cryptocurrency market has tempered Ethereum’s post-Shapella rally, with the market capitalization of all cryptocurrencies falling by almost 4% in just one day. Regulator ambiguity and indications of deteriorating macroeconomic conditions are to blame for this. On April 19, the price of Bitcoin fell to a 7-day low of $29,158, while the price of Ether breached the $2,100 mark following the Shapella upgrade and fell to a 7-day low of $1,972. During his appearance before the House Financial Services Committee for an oversight hearing, SEC Chair Gary Gensler also announced that he had sued cryptocurrency exchange Bittrex. Jerome Powell, the head of the Federal Reserve, is dedicated to lowering inflation through additional increases.
The Fed is dedicated to bringing back price stability and lowering inflation. With the upcoming FOMC meeting in May 2023, interest rates are anticipated to increase. Both investor confidence and the state of the global economy are weak. For continued equity returns, inflation, interest rates, and earnings are crucial.
