The crypto market has shown considerable strength during the week, with BTC rebounding from $16,400 to briefly surpassing the supposed resistance point at the $17,000 mark. ETH too has mostly been in the green, rising by 4.7% since Monday. This resurgence in a slightly bullish attitude in the market likely links to the release of the US consumer confidence report in the following days. Market participants are closely assessing whether or not the crypto market will end 2022 on a positive note.
Highlights of the week
Sam Bankman-Fried, the disgraced figure behind the FTX controversy has announced this week that he plans to go ahead with the proposed extradition to the United States, without challenging the move. This shift comes after the former CEO had spent approximately five days in a Bahamian prison, typically known for its poor quality and treatment of inmates.
Earlier yesterday, the announcement came from the DOJ’s US attorney, Damian Williams that the CEO of Almeida, Caroline Ellison, and FTX co-founder, Gary Wang, both pleaded guilty to fraud. Both have acknowledged their liability resulting from the fiasco, and have been reportedly cooperating with US law enforcement agencies.
Spain’s ministry of culture and sports announced earlier this week, its plan to revive and radically improve the country’s gaming sector, with a special focus on the realm of narrative metaverse experiences. The ministry further announced its plans to pump the sector with 8 million euros in 2023, which will help support incubation and grant handouts.
In a recent study, we learn that, although African crypto holders are spread across 33 African countries, up to two-thirds of all holders are present in only three countries. These are South Africa, Kenya, and Nigeria, with Nigeria coming at the top of the list with its 40.5% share of total cryptocurrency holders in the region.
Russia’s central banking authority is reportedly moving forward with its plans of complete crypto adoption, in wake of the sanctions the country is increasingly facing. A special legal regime of cross-border payments has been developed, which will be tested in the coming week, with various international private companies.
Crypto fear & greed index
The crypto fear & greed index, has been showing shaky market sentiment across the week, now down to 28, from the prior week’s 31. Although sentiment has consistently been on ‘fear’ rather than ‘extreme fear’ throughout the month, the market seems to be facing a difficult resistance point in moving beyond this level.
Market participants are positive about the expected release of the US consumer confidence report, which may take place in the upcoming days. It is likely that sentiment may climb by a slight degree upon a positive report seeing released. Many, however, had been expecting a ‘Santa Claus rally’ to take place, which has not done so, which would have given crypto-market bulls an opportunity to become active.