πŸ—“ Weekly recap β€‹β€‹πŸ—“

Here is the compilation of the essential crypto events of the week.

βœ…BTC sinks to 34kΒ 

While we are debating whether Bitcoin will reach $100K or even $1M per coin in the future, BTC continues to plunge in the short term. Today, Bitcoin reached its lowest value since August 2021: on KUNA, the asset declined to $33,300.

Interestingly, before the fall, Bitcoin showed a short-term growth to $40,000, which the community called “anomalous.” The reason was the Fed meeting on May 4-5, at which the key interest rate was raised by 50 bp. up to 0.75–1% per annum. Since the community expected a harsher policy (increase by 75 bp), the market reacted positively. The same fate awaited the stock market: the S&P 500 index rose by 2.99%, while the Nasdaq Composite increased by 3.19%.

Unfortunately, the rise was as rapid as the fall. By the evening of May 5, the BTC price began to decline. The Nasdaq Composite and S&P 500 indices fell by 5% and 3.5%.

Of course, volatility has also affected altcoins. All major coins from the top list are in the red zone both in terms of daily and weekly parameters:

πŸ“ŠSHIB/USDTΒ  -10% in 24h

πŸ“ŠXLM/USDT -8% in 24h

πŸ“ŠDOGE/USDT -6% in 24h

βœ…Instagram may add NFT support

Media reports that Meta will soon launch a pilot project to integrate NFT on the Instagram platform. According to unofficial data, non-fungible tokens on Ethereum, Polygon, Solana, and Flow will be available. There is also information that only a limited group of USA users will get access to new functions at the beginning. Moreover, the posting and sharing of NFTs will be commission-free.

The media also reports that Instagram will support popular cryptocurrency wallets like Metamask. Since there has been no official confirmation yet, we’ll monitor the situation

βœ… Crypto will not help Russia to avoid sanctionsΒ 

The international rating agency Moody’s concluded that digital assets will not help the Russian Federation circumvent the sanctions introduced due to the war in Ukraine. Analysts believe that the low liquidity of the ruble-to-cryptocurrency exchange market will not allow digital assets to be effectively used to evade sanctions.

In addition, experts note the tightening of AML/KYC standards for Russian accounts. Many crypto platforms, including KUNA, have already withdrawn from the Russian market. Last week, the media also reported the alleged blocking of Russian users on the Bitstamp and Coinbase exchanges. One of the Bitstamp clients from Russia wrote on Reddit that his account was blocked due to current events in Ukraine without the possibility of the fund’s withdrawal. So far, the aforementioned exchanges have not given any official comments but have previously stated that they are complying with all rules.

βœ…Gucci will accept crypto as payment

As early as May 2022, customers of the legendary fashion house Gucci will be able to pay for purchases with cryptocurrencies. At first, only five brand boutiques in the US will participate in the initiative, but the company plans to cover the entire country in the future.

Gucci CEO Marco Bizzarri said the new feature would significantly improve user experience. The company will integrate QR code payments in popular cryptocurrencies, including BTC, ETH, BCH, LTC, SHIBA, USDT, etc.

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