Major cryptocurrencies like Bitcoin and Ethereum seem to have finished the correction. Besides, it was a quiet day for the crypto market in general compared to Wall Street.
Bitcoin, which reached its lowest level with $ 30,458 on January 27, has safely surpassed $ 31,000 and is trading with confidence. Ethereum’s price also reflects the Bitcoin price, with a comeback after the lows it tested on Wednesday. For the first time this week, most of the top 20 cryptocurrencies are green again, with the biggest gains from Chainlink (6.6%), Uniswap (7.5%) and AAVE (6.4%). AAVE and Uniswap have increased their earnings for a week in a row, while DeFi maintains its popularity among investors.
It was a different day for Wall Street. Dow, S&P 500 and Nasdaq all recorded the biggest declines since October 2020. In the S&P 500, communication, services, finance and healthcare were among the biggest losers in the stock markets today. Disney, Maerck, and Boeing were the top losers in the Dow with a 4% loss each. Nasdaq 2.5%, Netflix 6.2%, PayPal 4.65% and all other major tech stocks hit.
The most striking event on Wall Street is the short squeeze that GameStop and WallStreetBets users have brought to their hedge funds. A group of people from WallStreetBets decided to take action against the stock in question and turned it into the best weapon to deliver a message against Wall Street. The shares of the company, which constantly announced losses during the pandemic period, attracted the attention of retail investors with a discussion and social media influence that started on Reddit and started an unexpected upward movement. In 2006, when the company had a successful business, the stock was worth only $ 50. At the time of writing this post, the company’s share price is worth $ 347, while all of the company’s stores are closed and the digital download area destroyed their profit margins.
Although it has been a “quiet” day for the crypto markets, it was an interesting day for the financial markets in general. While the Fed’s statements were awaited, events took shape on the unexpected side. Economist academic Özgür Demirtaş made the following assessment:
“One of the most important days in history is happening in the financial markets. Yesterday and Today will go down in history as the days when small investors shattered big investors. I am happy too. It is halal for Elon and he started the event. […] But this also has a return. It is a crime to act together for manipulation purposes in share purchases. SEC will take care of the incident. “