Cryptocurrency recovered somewhat after a fierce weekend of as low as $112,000 on Saturday.
BTC survives the storm and holds nearly $115,000
After riding last week’s roller coaster, Bitcoin prices fell off the cliff and fell to $112,000 on Saturday before returning to $115,000 in pre-trade time on Monday. Last week’s macro environment was a mixture of good and bad news, neutralizing strong GDP numbers with weaker job reports. The Federal Reserve maintained its federal funding rate in the 4.25-4.50% range, which was expected, but the BTC fell sharply shortly after Chairman Jerome Powell’s announcement on Wednesday.
The US economic outlook does not affect the crypto market. There were comparable blood bass in stock, but they also recovered. The S&P 500, Nasdaq, and Dow increased by 1.30%, 1.75%, and 1.12% at the time of reporting, respectively. CoinMarketCap data shows Crypto Markets up 1.88%.
Some experts, including Bloomberg analyst Eric Baltunas, have praised institutional capital for lower BTC volatility. With the approval and launch of the first Spot Bitcoin Exchange Fund (ETF) in January 2024, billions have been injected into the cryptocurrency ecosystem. This was followed by the emergence of Bitcoin finance companies. A company that owns a large amount of BTC on its balance sheet. If Balchunas is right, it could mean that the days of disgusting shaking in Bitcoin prices are getting longer.
“Since ETFS’ launch, Bitcoin volatility has plummeted,” Balchunas wrote in an X post.
Market Metric Overview
According to Coinmarketcap, Bitcoin was trading at $115,491.54 at the time of writing. However, digital assets have fallen 2.05% in a week, hovering between $113,966.97 and $115,561.82 over the past 24 hours.
The trading volume that day was a surprising $53.43 billion, down 2.21% from yesterday. Market capitalization rose just 0.89%, at $2.28 trillion when reported. Bitcoin’s advantage fell by 61.56% over 24 hours, down 0.91%.
(BTC dominance/trade view)
Open interest on total BTC futures was $79.89 million that day, a 0.47% drop. Bitcoin liquidation overall has been $39.25 million since Sunday, of which $34.4 million came from short positions, totaling $4.85 million.
