OpinionReason behind market pump: Ethereum Merge, Interest Rates, and XRP

Reason behind market pump: Ethereum Merge, Interest Rates, and XRP

The reason behind market pump is Good news coming from Ethereum. It looks like the Ethereum merge could be set to take place as soon as September. In fact, the 19th of September is the date that’s been put out by a few Ethereum devs.

Now obviously this is great news for Ethereum. It’s great news for loads of erc20 tokens as well obviously. It’s also good news for tokens like Matic as well. Obviously, Matic is Ethereum’s leading layer 2 scaling solution. Matic has also coincidentally had some good news of its own. The reason behind market pump It’s mostly pumping on the news that it’s partnered with Disney for this accelerator program.

So obviously yes some certainty around the merge some hope at least that the merge could actually happen sometime fairly soon. It’s obviously driving Ethereum and Ethereum-based tokens. I think it’s carrying a lot of the market along with it in general including weirdly. Ethereum killers the likes of Solana avalanche and Cardano. Well, basically investors are hedging in case something goes catastrophically wrong with the merge. Which I think is pretty unlikely but you can’t rule anything out these days can this is crypto after all.

So that is some very good news that seems to be carrying the market along with it. There are also a number of other stories that I spotted as well. Now you’ll recall that when the cpi numbers when those inflation numbers came out last week in the united states. They showed that inflation was running at 9.1 percent even higher than what investors were expecting. Now that obviously uh caused that midweek dump that we saw last week. But it seems as though now obviously the reason for this dump was that inflation was so high even higher than expected. 

The expectation was that the fed would then be forced to raise rates by a full 1% 100 basis points when it meets towards the end of this month. However, we have had news come through that a number of fed officials have signaled that they may well stick to a 75 basis point rise of just 0.75%. This may not seem like much but it is certainly a bit of good news for the markets to clutch at.

There is a couple of relevant news for XRP holders. Apparently, Jed McCaleb has finally finished selling all his XRP. Now for those of you unfamiliar Jed McCaleb was one of the original founders of ripple. He left a few years ago to co-found Stella. Which is obviously a rival platform to ripple and won us a big bone of contention since then has been Jed’s allocation of XRP. He was allocated around nine billion coins which are over 18 and a half percent of XRP’s total supply.

He’s basically been selling it off he’s been kind of under an agreement with ripple not to dump it all at one point. But has basically been selling it off over the last few years and apparently, he has finally finished doing that. The reason behind market pump now XRP has pumped along with the rest of the market not massively. Because we are still in a bear market like it or not. But this is certainly good news for XRP in the long term. Of course, it coupled with the good news that XRP had last week when it scored a big victory in its case against the sec. That case is still ongoing it’s not going to be resolved anytime soon. But these are two really good bits of good news for both ripple and XRP holders.

Then the final story I wanted to briefly mention as well as a report in the hill from yesterday. Said that petrol prices in the US or gas prices as you Americans love to say could soon drop below four dollars. Now obviously Americans love drinking petrol more than anything in the world. So lower gas prices are definitely good news for them and for the US economy.

The reason that these prices could be dipping below four dollars is basically president Joe Biden has been releasing US oil reserves in order to try and suppress prices. There also been photographed fist bumping the Saudis as well to try and get them to up production of oil to basically make up for the shortfall caused by the war in Ukraine.

So this is a reason behind market pump and just a few kinds of interesting stories that I thought might be fun to talk about. Now I should point out we are still in a bear market. This means that most pumps that we’re seeing aren’t really going to register on any cryptocurrency’s long-term price chart. So do be aware of that.

Read: FBI issues Warning Over Fake Crypto Apps: Fraud Alert

However, there are encouraging signs that this rally could last for a few months yet. Because when the fed meets towards the end of this month on the 27th of July and announces that rate rise. Which could now be lower than it was predicted to be last week.  The fed officials then all go on holiday until September. So basically the crypto market all of us have a break from the fed for two months now that to me is certainly good news.

RELATED ARTICLES

Most Popular

Latest Posts