Stocks are still under pressure, Bitcoin hammering continues

The Fed is going to raise rates more aggressively than was expected.  There is the belief that inflation is starting to bubble through the economy. The market is now adjusting for this.

(From CNBC)

Stocks began the new year ripping higher. The Dow and S&P 500 had their best monthly gains since March 2016 last month. The Nasdaq posted its biggest one-month gain since October 2015 in January. The major indexes had also notched record highs.

Equities benefited from strong economic data and solid corporate earnings growth at the start of the year. But increasing inflation concerns have sent interest rates higher recently, rattling Wall Street.

This stocks sell-off “reflects ‘growing pains’ as the markets adapt to above-trend growth and a normalization of inflation that have led to a back-up in rates,”

Cryptos started the sell off and they continue to have a tough time. To put it kindly.

Image: Coingecko

 

Shirts, at this moment, are being lost.

As we said, there was too much wealth being transferred in cryptos to just let them flourish. That crypto currencies are very difficult to value – their value is the degree to which people accept them, like the dollar – is also a problem. (The dollar is backed, fundamentally by tanks and bombs, sadly, and even still erodes day after day.) The big banks and governments would as we said, seek to take crypto currencies out if they could. The effort by the powers that be is full on at this point.

Ban Complete: China Blocks Foreign Crypto Exchanges To Counter ‘Financial Risks’

China will add offshore cryptocurrency exchanges and ICO websites to its Great Firewall, the South China Morning Post reported Monday, reported Feb. 5, quoting a publication affiliated with the People’s Bank of China (PBoC).

Regulators in China reportedly voiced dissatisfaction with current measures restricting trading on domestic exchange sites, coming to a decision to block foreign sites as well to counter “financial risks”.

Whether Bitcoin and its brethren can weather the ongoing worldwide regulatory onslaught is an open question right now. But if one thinks about it, if the Bitcoin/crypto revolution is to happen at all, this test had to happen.

Still, shirts at this moment are being lost.