An institutional-only crypto exchange, EDX Markets, also recently went live with backing from billionaire Ken Griffin’s Citadel Securities as well as Fidelity and Charles Schwab Corp. It offers trading in only four cryptocurrencies: bitcoin, ether, litecoin and bitcoin cash.

While bitcoin hit records after each of its last three halvings, the current outlook for crypto is clouded by the prospect of more central bank interest-rate rises to tighten liquidity and curb inflation.

Loading

Investments such as stocks have already begun to falter after a robust first half, with sentiment hit by a jump in government bond yields.

Traditional markets “seem to be entering a more risk-off mood – we can’t yet assume that bitcoin will just shrug that off,” wrote Noelle Acheson, author of the Crypto Is Macro Now newsletter.

“The especially interesting story will be how bitcoin behaves when the stock market correction eventually arrives in earnest,” she said.

Bitcoin and litecoin remain well below record peaks achieved in 2021. Litecoin traded at about $US98 ($147) as of Monday in New York, compared with $US413 during a pandemic-era bull market. Bitcoin traded at roughly $US30,000, some $US39,000 below its all-time high.

Bloomberg

The Business Briefing newsletter delivers major stories, exclusive coverage and expert opinion. Sign up to get it every weekday morning.