All Eyes Are On American Interest Rates As Bitcoin And Ether Extend Drops‍

After gaining throughout the previous week, Bitcoin and Ether dipped in Tuesday afternoon trade in Asia as monetary regulators injected money into markets to relieve liquidity strains and took other measures to allay concerns about a banking sector catastrophe in the U.S. and Europe.

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Quick Facts

• The largest cryptocurrency in the world, Bitcoin, dropped 2.44% to US$27,575 in the 24 hours leading up to 4 p.m. based on information from CoinMarketCap, and increased 13.09% for the week. After increasing by 3.49% over the previous seven days, Ethereum fell by 3.42% to US$1,735.

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• The majority of the top 10 non-stablecoin cryptocurrencies fell, with Polygon's Matic token leading the way with a daily decrease of 5.08% to US$1.10 and a weekly decline of 5.7%. The second-largest loser was Dogecoin, which dropped 4.9% to US$0.07134 and lost 1.48% over the previous seven days.

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• In the previous day, overall crypto market volume decreased by 6.68% to US$70.57 billion, while total crypto market valuation fell 2.85% to US$1.15 trillion.

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• After a solace rise in US stocks on Monday, most Asian equities rose on Tuesday as worries about a wider banking sector crisis subsided as regulators took control of the takeovers of Signature and Credit Suisse.

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• White House spokesman Michael Kikukawa told Trade Algo that "after our administration and the authorities took decisive action this weekend, we have already seen assets stabilize at financial companies all through the country and, in some instances, outflows have modestly reversed."

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• According to Trade Algo, U.S. officials are looking into whether regulators can temporarily offer deposit insurance over the current US$250,000 ceiling in the event of a banking industry emergency.

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• The Shenzhen Component Index rose 1.6%, while the Shanghai Composite grew by 0.64%. The Hang Seng Index in Hong Kong grew by 1.36%, the Kospi in South Korea increased by 0.38%, while the Nikkei 225 in Japan fell by 1.42%.

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• Investors anticipate the United States. announcement made by the Federal Reserve on March 22 regarding interest rates and the state of the economy. Interest rates are predicted to rise by 25 basis points by the U.S. central bank, down from prior market speculation of a 50 basis point hike before the banking crisis.

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• When UBS agreed to purchase Credit Suisse and European Central Bank (ECB) President Christine Lagarde reiterated on Sunday that the ECB is prepared to support European banks with emergency financing, concerns regarding the banking crisis began to lessen, and European markets continued to rise.

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• The benchmark STOXX 600 increased by 1.33%, and the DAX 40 in Germany gained 1.53%.

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• Investors are also anticipating the publication of the ZEW economic optimism poll to assess the state of the eurozone's economy.

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• In response to growing anticipation that the Federal Reserve will loosen its tightening monetary policy in light of the banking crisis, gold declined 0.52%, remaining close to a year high of US$1,980 an ounce.