Daily News | Crypto Stable as Inflation Fears Weigh on Global Equities; SingularityNET Surges on Rumors of Elon Musk's AI Platform

2023-03-01, 01:47

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![](https://gimg2.gateimg.com/image/article/1677635079Wednesday.jpg)

## Crypto Daily Digest: Inflation Fears Drive Down Global Stocks and US Consumer Confidence While Cryptocurrencies Remain Stable

Good morning, traders! Let's seize this marvelous Wednesday relentlessly and make the most of it! 🚀

Inflation concerns dominated the investment landscape in February, with the Federal Reserve indicating that it plans to raise rates higher than expected. This news caused global stocks to fall by about 3%. Additionally, US consumer confidence declined, and US home prices fell for a sixth consecutive month.

Investors in both stocks and bonds faced challenges throughout the month, with the S&P 500 and Nasdaq 100 declining. Bond traders no longer viewed the odds of a Fed rate cut this year as better-than-even. Australian and Japanese futures were pointing to small declines, while Hong Kong's Hang Seng Index futures suggested modest gains.

Cryptocurrency prices remained stable in February after a strong rally in January. By the end of the month, <a href="/price/bitcoin-btc" target="_blank" class="blog_inner_link">Bitcoin</a> was trading slightly below $23,180, showing minimal movement. Meanwhile, <a href="/price/ethereum-eth" target="_blank" class="blog_inner_link">Ethereum</a> is anticipated to benefit from upcoming catalysts, according to Bernstein analysts. The <a href="/price/ethereum-eth" target="_blank" class="blog_inner_link">Ethereum</a> network's upcoming Shanghai upgrade and EIP-4844 upgrade are expected to reduce transaction costs and create a separate blockspace/fee market for Layer 2's, respectively. Despite potential short-term supply overhang, <a href="/price/ethereum-eth" target="_blank" class="blog_inner_link">Ethereum</a>'s network has shown resilience and is expected to continue its growth momentum and market leadership.

However, liquidity conditions in the <a href="/price/bitcoin-btc" target="_blank" class="blog_inner_link">Bitcoin</a> and <a href="/price/ethereum-eth" target="_blank" class="blog_inner_link">Ethereum</a> markets have worsened, leading to concerns about abrupt price swings. Thin liquidity means more drastic moves, particularly in altcoins. Market makers' hedging activity is known to influence <a href="/price/bitcoin-btc" target="_blank" class="blog_inner_link">Bitcoin</a>'s spot market price and could have an outsized impact this time, thanks to low market depth. The decline in liquidity began in mid-November after Alameda Research and FTX went bust. There has also been a migration of positions to decentralized exchanges (DEXs) to minimize counterparty risk.

Overall, February was a mixed bag for investors, with inflation concerns dominating the investment landscape. While cryptocurrencies remained stable, concerns around liquidity conditions persisted. However, despite short-term challenges, the consensus is the <a href="/price/ethereum-eth" target="_blank" class="blog_inner_link">Ethereum</a> network is expected to continue its growth momentum and market leadership.

## Topic of the Day: SingularityNET Surges on Rumors of Elon Musk's Competitor AI Platform

SingularityNET (AGIX) is an AI-focused marketplace built on the <a href="/price/cardano-ada" target="_blank" class="blog_inner_link">Cardano</a> blockchain that has experienced a surge in value recently. Over the past 24 hours, the token has seen an increase of up to 23%, settling at around 11% gains, which makes it the top performer among the top 100 cryptocurrencies by market cap. This surge in value appears to have been prompted by rumors that Elon Musk is planning to build a competitor to ChatGPT.

Although the rally ended abruptly at the $0.55 resistance level, the token has since picked up steam again and is currently showing an upward trend. SingularityNET developers have announced that the beta testing launch of their <a href="/price/cardano-ada" target="_blank" class="blog_inner_link">Cardano</a> staking portal will take place next month, with plans for a mainnet release in Q1 2023. The staking portal will allow AGIX token holders to stake on the <a href="/price/cardano-ada" target="_blank" class="blog_inner_link">Cardano</a> network, in addition to <a href="/price/ethereum-eth" target="_blank" class="blog_inner_link">Ethereum</a>.

SingularityNET's platform enables anyone to build, share, and monetize AI services via their marketplaces using AGIX tokens. The company is recognized for creating Sophia, the world's most expensive robot, with the goal of fully developing OpenCog, a framework of AI algorithms. The market capitalization of SingularityNET is now $680 million, reflecting the growing interest in the platform and its potential for the future. This goes without saying, investors should be wary of the AI narrative plays, and always conduct their own research.

## SingularityNET (AGIX) $0.4923 (+11.1%) - Neutral Outlook

**Overview:**

- ***Closest hourly support zone: 0.5033 - 0.4912***
- ***Closest hourly resistance zone: 0.5393 - 0.5464***
- ***Key Level: 0.4481 (Weekly Open of Feb. 06 - 13, 2023)***
<br>
![](https://gimg2.gateimg.com/image/article/1677635190Untitled0301.png)

On the 4H timeframe, AGIX's current price level intersects with a descending trendline that connects its highest peaks. If the AGIX bulls can successfully push through, it would require a strong show of strength, similar to the candlestick momentum seen between 00:00 - 04:00 on Feb. 28, to break the next resistance zone [0.5763 - 0.6024] and invalidate a potential RSI bearish divergence. However, if AGIX experiences consolidation between 0.4695 - 0.5466, it may indicate buyers' exhaustion and a potential pullback to around 0.4695 - 0.4481 is likely. Regardless of the outcome, traders should avoid chasing a narrative play and wait for better entries while closely monitoring price action and its impact on market psychology.

**Hourly Resistance zones**

1. 0.5393 - 0.5464
2. 0.5763 - 0.6024
3. 0.6326 - 0.6700

<br>
 **Hourly Support zones**

1. 0.5033 - 0.4912
2. 0.4810 - 0.4481
3. 0.4335 - 0.3971

<div class="blog-details-info">
<div>Author:** Peter L.**, Gate.io Researcher
<div class="info-tips">\*This article represents only the views of the researcher and does not constitute any investment suggestions.
<div>\*Gate.io reserves all rights to this article. Reposting of the article will be permitted provided Gate.io is referenced. In all cases, legal action will be taken due to copyright infringement.
</div>

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