Crypto Market Watch: Bitcoin, Ether Remain Sluggish Despite Small Gains; Losses Strike Stablecoins
Bitcoin registered a small gain of 0.7 percent on Friday, April 26. The most expensive cryptocurrency is trading at the price point of $26,421 (roughly Rs. 21.8 lakh), marking one of its lowest trading values in at least two months on both national as well as international exchanges. The leading crypto had been maintaining a steady position up until the second week of May, but it recently slipped below its crucial support level of $26,500 (roughly Rs. 22 lakh). In the last 24 hours, Bitcoin managed to rise by $414 (roughly Rs. 34,240).
Despite Bitcoin’s sluggish market movement, its sell-side risk ratio has touched an all-time low, the CoinDCX research team told Gadgets 360. A market indicator, the sell-side risk ratio is the sum of all on-chain profits and losses, divided by the overall capitalisation.
“This development indicates that investors have shown reluctance to sell their Bitcoins within the current price range, regardless of whether it would result in profit or loss. Such behaviour is typically observed when sellers on both ends become exhausted, signalling the potential for significant price movements on the horizon. This revelation brings a glimmer of anticipation to the market, as traders eagerly await the upcoming developments in the world of crypto,” the CoinDCX team said.
Ether tagged along with Bitcoin and registered a small profit of 1.46 percent. ETH, at the time or writing, was trading at $1,807 (roughly Rs. 1.49 lakh), showed the crypto price tracker by Gadgets 360. Over the last day, the second-most expensive cryptocurrency did grow by $32 (roughly Rs. 2,646).
Memecoins Shiba Inu and Dogecoin also reeled in minor gains alongside Polygon, Litecoin, Leo, Cosmos, and Uniswap.
Stellar, Bitcoin Cash, Cronos, and EOS Coin also recorded miniscule profits to trade in greens on Friday.
“The slight increase could be attributed to positive weekly unemployment data in the US. The crypto fear and greed index fell by two points since yesterday, but remains in the neutral zone with 49 points,” Parth Chaturvedi, Investments Lead, CoinSwitch Ventures, told Gadgets 360.
Overall, however, the uncertain macroeconomic climate has contributed to a decline in the crypto market, fuelled by concerns surrounding inflation, crypto regulations, and the ongoing debt ceiling stalemate in the US.
A divergence of opinions among US’ central bankers regarding potential interest rate hikes recently floated up in the Federal Open Market Committee minutes. This has intensified the traders’ focus on the forthcoming Core PCE inflation data for April, set to be released later in the day.
In the last 24 hours, the valuation of the crypto market went up by 0.73 percent to sit lowly at $1.11 trillion (roughly Rs. 91,75,000 crore), showed the data by CoinMarketCap.
“Market fluctuations have led to an increase in outflow of assets which led to the decline of the total market capitalisation. It is, however, noteworthy that there has been a sudden surge of regulatory developments in the last couple of days, especially after the IOSCO announcement. The World Economif Forum has followed in with its own set of regulations which promote international collaboration,” Rajagopal Menon, Vice President, WazirX, told Gadgets 360.
Stablecoins, meanwhile, settled with losses on Friday. These include Tether, USD Coin, and Binance USD.
Binance Coin, Cardano, Solana, Tron, and Avalanche have also been trading in the reds alongside most stablecoins.
In other news, OpenAI’s CEO Sam Altman’s crypto project Worldcoin — a decentralised open-source protocol — has raised $115 million (roughly Rs. 95 crore) in a Series C funding round despite the bearish market sentiment.
Another major strategic event to highlight is the final resolution and sale of $2 billion (roughly Rs. 16,545 crore) worth of assets held by Celsius to a group of investors led by Fahrenheit.
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