We have to start this article by mentioning President Trump and the launch of his Cryptocurrency (meme in this case) $TRUMP that came out on Friday night.
Basically incredible that 2 days before his inauguration the president does this, creating a historic FOMO feeling in the crypto community, the market is very optimistic about what it can see in the future for the entire ecosystem with this government. (In next week’s article we will see if it was a rumor buying or selling the news)
The price of the token touched 77.44 dollars, it is already positioned as the third memecoin with the most market capitalization behind SHIBA INU and DOGE (this moment is simply historic).
In the following days we will be releasing new articles hour by hour telling the news of the Trump memecoin and the crypto world in the first days of his return to the White House.
This week, traditional financial and cryptocurrency markets reacted positively to the inflation data in the United States (later I will explain why I start with this news and talking about traditional markets). The Consumer Price Index (CPI) showed a slowdown in inflation, which generated optimism among investors.
S&P 500 (SPY): Closed at 597.58 USD, with an increase of 0.01%.
Dow Jones Industrial Average (DIA): Reached 434.72 USD, up 0.0074%.
NASDAQ (QQQ): It stood at 521.74 USD, registering an increase of 0.0169%.
Market data shows caution ahead of Trump’s inauguration next week, although the general sentiment is positive, they know that volatility in the days before and after can be deceptive. Prices so high at historic highs reflect investor confidence in the US economy, driven by solid employment data and positive corporate results.
Cryptocurrency markets also reacted positively to inflation data in the United States. The Consumer Price Index (CPI) showed a slowdown in inflation, which also generated optimism among investors. (News that Jerome Powell surely celebrated in view of the upcoming statements from the FED)
Bitcoin (BTC): It reached an intraday high of 105,912 USD, closing at 104,613 USD, with an increase of 4.54%.
Ethereum (ETH): Recorded an intraday high of $3,520.34, closing at $3,486.59, up 5.33%.
And here comes the part where we started the article talking about the reaction of both markets to the news (traditional and cryptocurrencies), and that is that the correlation between Bitcoin and the Nasdaq index has reached its highest level in two years, indicating a growing sensitivity of cryptocurrencies to traditional economic factors (every day mass adoption is closer and it is essential for crypto users to return to decentralization).
With Trump taking power and his pro-crypto speech, users, traders and innovators of the web 3.0 are beginning to take a turn towards decentralization. This week, in the main networks and channels of crypto diffusion, the old debate about whether decentralization or centralization is better was brought to the table. (At Nudex, our vote is in favor of the freedom and security of decentralization, in case there was any doubt)
Continuing with the news, the inauguration in the United States: The inauguration of President Donald Trump for his second term is scheduled for January 20. His favorable stance towards cryptocurrencies could continue to positively impact this market.
This week it was leaked that President-elect Donald Trump held a private dinner with Brad Garlinghouse, CEO of Ripple (surely driven by regulatory interests), and Stuart Alderoty, Legal Director of the company, on January 6. Garlinghouse described the meeting as an “excellent start to 2025” all just days before Trump becomes the most powerful man in the world. This meeting has sparked speculation about possible collaborations and a more favorable regulatory environment for cryptocurrencies in the United States.
Due to this news, Ripple’s XRP token has experienced a notable increase in its value (improving its performance in recent months), reaching 3.38 USD on January 16, its highest point in seven years (and it is the cryptocurrency in the top #10 that has had the best performance in recent months). This rebound is attributed to several factors, including the decrease in inflation in the United States and the expectation of approval of ETFs that contain real cryptocurrencies instead of futures. In addition, the positive outlook in the litigation between Ripple and the SEC has contributed to market optimism.
Federal Reserve Monetary Policy: The US Federal Reserve is anticipated to announce interest rate decisions, influenced by recent inflation data. A reduction in rates could further stimulate financial markets.
Developments in the Ripple vs. SEC Case: Updates are expected in the litigation between Ripple and the US Securities and Exchange Commission (SEC). A favorable resolution for Ripple could further boost the price of XRP and set precedents in cryptocurrency regulation.
The past week has been marked by significant events, big moves are coming and it is best to position our politics and finances with the caution of an opportunist (Keep that last word, be opportunistic, see the opportunities because there are always opportunities.).
Until next week, good luck fellas. 🚀