Ethereum leads broad crypto rally as Powell signals Fed rate cut likely
Meanwhile, SharpLink Gaming announced a $1.5 billion stock buyback program, sending shares up.
Ethereum is leading crypto gains following comments from Fed Chair Jay Powell signaling that the central bank would likely cut rates at its September meeting. The token’s price has increased 8% since the news broke and swung back above the $4,600 level. All major cryptos are in the green on the news.
Prior to Powell supercharging the crypto markets, ethereum treasury firm SharpLink Gaming announced that its board of directors has authorized a stock repurchase program of $1.5 billion, aiming to optimize capital allocation and reinforce the company’s long-term commitment to fueling sustainable stockholder value. Shares of the company have increased nearly 10% on the news.
“Should there exist periods where our stock trades at or below the net asset value (‘NAV’) of our ETH holdings, it would be dilutive on an ETH per share basis to issue new equity through our capital raising efforts,” SharpLink co-CEO Joseph Chalom said in a Friday press release.
“In this scenario, the accretive course of action may be to repurchase our common stock,” he added. “This program provides us with the flexibility to act quickly and decisively if those conditions present themselves.”
Meanwhile, US spot ethereum ETFs reversed a negative trend and recorded $287.6 million in inflows on Thursday. Even though the inflows yesterday halted the funds’ four-day streak of outflows, total outflows for the week remain at a record level since their inception, at roughly $578.9 million, data from SoSoValue shows.
