Blockchain Bites: DOGE Chases After GameStop, Guggenheim Doubts $30K Bitcoin – Yahoo Finance

Blockchain Bites: DOGE Chases After GameStop, Guggenheim Doubts $30K Bitcoin – Yahoo Finance

Three stories

1. Federal Reserve Chair Jerome Powell said the U.S. central bank will keep its policies loose. The Fed will maintain its current $120 billion per month bond-buying program until “substantial further progress” is made in terms of inflation and employment.

  • “I’m much more worried about falling short of a complete recovery and losing people’s careers and lives that they built because they don’t get back to work in time,” Powell said. “I’m much more concerned about that than the possibility which exists of higher inflation. … Frankly, we’d welcome higher inflation.”

Bitcoin enthusiasts see long-term benefits for the cryptocurrency under this current regime, which is committed to letting inflation run hot. Bitcoin didn’t react to the Fed’s statements immediately, but is up 7% (at press time) after trading in the red Wednesday.

  • Powell was asked about bitcoin, in a question about how cheap money could be creating bubbles. His response: “Financial stability vulnerabilities overall are moderate.”

  • Separately, the chief banker at BIS, the bank for central banks, Agustín Carstens, cast doubt on bitcoin’s long-term viability Wednesday, saying bitcoin’s volatility would be its downfall.

2. The DeFi scene is heating up. Grayscale Investments, the world’s largest digital asset manager, has filed to register five new trusts for cryptocurrency assets, Source…