Good Morning, Asia. Here’s what’s making news in the markets:
Welcome to Asia Morning Briefing, your daily summary of key stories during U.S. hours and a look at market trends and analysis. For a comprehensive overview of U.S. markets, see CoinDesk’s Crypto Daybook Americas.
Bitcoin was trading around $89,000 as Hong Kong began another work week, having relinquished last week’s gains after the Fed announcement. FlowDesk noted that demand diminished rapidly following the 25 bps cut, with liquidity thinning as the year comes to a close.
BTC and ETH saw a pullback from midweek highs, while altcoins faced continued pressures, highlighting a market characterized by macro caution and insufficient follow-through rather than total risk aversion.
This surface-level hesitation is offset by a steadier underlying sentiment. According to a Telegram update from FlowDesk, leverage remains subdued, volatility is low, and there is a shift towards short-dated yield as counterparties secure longer-term funding at reduced rates, indicating a prioritization of balance sheet optimization over directional investing.
In other news, Glassnode observes that the stable BTC price has prompted digital asset treasury firms to resume their bitcoin purchases. A delay in digital asset trusts making acquisitions is often cited as a reason for bitcoin’s stagnation throughout autumn.
Currently, this blend of cautious trading and quiet balance sheet accumulation keeps bitcoin within a broad range, with rallies losing momentum but downside risks appearing limited.
As long as leverage remains low and macro conditions don’t compel treasury buyers to quicken their pace, price fluctuations are likely to stay muted, even as ownership shifts towards long-term holders.
Market Movement
BTC: Bitcoin stayed around $89,000 after surrendering its post-Fed gains, marked by weak follow-through and diminished liquidity that keeps price movement confined.
ETH: Ether displayed relative strength, maintaining recent gains better than bitcoin due to selective demand and lower selling pressure backing prices amid broader market apprehension.
Gold: Gold is near record highs at approximately $4,300 per ounce, with rate cuts, significant global debt, and ongoing central bank demand supporting prices as year-end approaches.
Nikkei 225: Asian markets opened lower as investors processed Wall Street’s retreat, adopting a cautious approach towards risk, with focus shifting to China’s November activity data and Japan’s Tankan survey, which indicated a rise in business sentiment among large manufacturers to a four-year peak.
