With minimal movement in the price of Bitcoin, cryptocurrency markets maintain their sideways trading patterns, while Ethereum continues to hold around the high $1,500 range. The fact that the market valuation of all cryptocurrencies is still less than $1 trillion indicates that the bears are still in charge. As word spreads that Russia is stopping its energy supply to Europe, European financial markets become erratic.
- On this Labor Day, U.S. financial markets are closed, while European markets decline due to Russia cutting off gas supplies.
- Data suggests that long-term holders are reportedly collecting Bitcoin, which is why it is still trading at $19,000.
- With nine days till the network merge for Ethereum, the price for Ether is still trending upward.
Stock Markets News Update
As European markets continue to fall, global market circumstances remain bleak. Today’s key news affecting stock markets is Russia’s halt of gas flows, triggering market turbulence as traders express anxiety over the energy supply.
According to CNBC:
“The pan-European Stoxx 600 was down 1.2% by early afternoon in London, having recouped some of its earlier losses.  The sharp downward moves for risk asserts came after Russia’s state-owned energy giant Gazprom announced that gas flows to Europe via the Nord Stream 1 pipeline would be halted indefinitely.”
The U.S markets are closed this Labor Day. However, as traders brace themselves for the Fed’s aggressive monetary policy, they will likely open lower on Tuesday, as Jerome Powell warned at the Jackson Hall conference last week.
Bitcoin Market News Update
According to recent information from Coindesk, long-term investors are growing their holdings and continuing to stockpile them due to the low prices.
Investors’ buying interest has surged, according to The Puell Multiple, a statistical indicator that measures one-year revenue growth among Bitcoin miners. Long-term holders are accumulating BTC since current prices are cheap and the prospects of BTC plummeting drastically this year are little to none.
Bitcoin might plummet as low as $15k in a hurry, but the $19k support level has been a crucial range for Bitcoin over the last several months and during this year’s weak market.
For those intending to keep BTC for 3-5 years, this is a perfect time to establish a stake in the digital asset.
Bitcoin still has a better chance of recovering quickly above $20k levels once the bulls take control of the market, even if it does fall to lower $15k levels.
Ethereum Market News Update
Nine days remain till the network merge of Ethereum, and the price of Ethereum continues to exhibit strong support in the high $1,500s to low $1,600s area.
When the network completely switches to proof-of-stake and users start to benefit from the higher transaction throughput and lower fees, there is a good chance that Ethereum will rise above $2k after the merge, which is likely to be priced in starting in October.
As traders predict a new paradigm for Ether, the network merger of Ethereum will continue to fuel the cryptocurrency’s positive momentum this year.
With a market capitalization of $192 billion, Ethereum is presently trading at $1,571. Its daily trade volume increased by 23% over the previous day to $10.3 billion.
Disclosure: This is not trading or investment advice. Always do your research before buying any cryptocurrency or investing in any services.