Also moving this morning is the British Pound Sterling. Several updates are expected regarding a possible Brexit transition deal with the European Union.
The European Commission is expected to convene for an urgent Brexit announcement, which will be streamed live at 12:45 in Brussels at this link.
The buzz on social media and in the press is that they will be discussing a possible transition deal that will carry both sides through the Brexit process.
The GBP/USD is up sharply this morning and is now trading near the middle of its range.
Remember, no matter what happens with Brexit today, the focus is likely to shift quickly to the Bank of England’s interest rate decision, which is happening on Thursday and of course the US Fed’s rate decision on Wednesday.
The G20 Meetings
Updates from the meetings today and tomorrow will be closely watched both by traditional investors and cryptotraders.
A six-page letter sent from the FSB Chairman Mark Carney to the G20 was published last night and has since been widely circulated in the crypto community.
Carney is also the Governor of the Bank of England and is widely considered to be a thought leader on all things economic. His speech to the G20 in February 2016 provided a backstop for the global economy and very likely caused the world not to go too far with negative interest rates.
In the letter, he points out that cryptocurrencies are now less than 1% of the world’s GDP and so are not a threat to the global financial system.
Soon after the letter was published, the price of Bitcoin and other cryptos saw a massive surge. This push from the lows could not have come at a better time. As you can see, the price was just testing that long-term trendline (yellow) and a turnaround here would certainly be welcome by Bitcoin bulls.