The crypto markets enjoyed a bear rally this Thursday morning following the biggest daily gain for the US indexes in over two years.
NASDAQ and the S&P 500 were lifted by a price rally on Microsoft and Alphabet following better-than-expected earning, sparking a 9.3% rise in Bitcoin to US$23,180 and a 13.3% rally on Ethereum to US$1,640.
Global crypto market capitalisation increased by over 8%, and now stands at US$1.06tln.
Decentralised finance (DeFi) protocols performed particularly well, with Uniswap and Synthetix both reaching over 20%, and Aave, Convex, Compound Finance and 1inch Network all enjoying double-digit gains.
Total value locked across the entire DeFi space rose by 4.8% to US$87.5bln.
View from the IMF
Despite the strong daily gains, forward predictions are still cautious.
Tobias Adrian, director at the International Monetary Fund (IMF), told Yahoo!finance that further selloffs in the crypto markets could persist, while also warning:
“There could be further failures of some of the coin offerings — in particular, some of the algorithmic stablecoins that have been hit most hard, and there are others that could fail.”
Also in the news
A consultation paper published by the UK Law Commission has proposed to bring crypto assets including NFTs under the country’s personal property laws, a move that would offer great protections against scams and network failures.
South Korean authorities have placed a “notice on arrival” for Terra Labs co-founder Do Kwon, as part of a fraud investigation into the collapsed stablecoin enterprise, according to local media reports.