On Friday, the cryptocurrency market saw a mix of price movements, with some tokens rising and others falling. Major cryptocurrencies like Bitcoin, Ethereum, BNB, Solana, Tron, and Uniswap experienced small declines, dropping by up to 2%. On the other hand, altcoins such as XRP, Toncoin, Cardano, Avalanche, Polkadot, and Litecoin managed to gain, rising as much as 5%.
By 1:07 PM IST, Bitcoin had decreased by 2%, bringing its price down to $57,939. Ethereum also saw a slight decline, dropping 0.8% to $2,342. Overall, the global cryptocurrency market’s total value fell by 1.13% in the last 24 hours, standing at approximately $2.13 trillion.
Edul Patel, CEO of Mudrex, commented on Bitcoin’s performance, stating that it is holding firm around the $58,000 mark, continuing its upward trend. Patel highlighted that recent news, including former U.S. President Donald Trump’s plans to launch his son’s cryptocurrency business and the positive predictions for Bitcoin from Standard Chartered Bank, have boosted the market’s outlook. Patel also mentioned that Bitcoin is currently facing resistance at the $59,100 level, with its support level at $56,500, meaning it could bounce back up or fall further depending on the market’s next move.
Shivam Thakral, CEO of BuyUcoin, noted that despite mixed economic data from the U.S., Bitcoin has remained stable, hovering around $57,900. He added that many investors are feeling positive because they expect the U.S. Federal Reserve to cut interest rates by 0.25% on September 18. This possible interest rate reduction is seen as good news for Bitcoin because lower interest rates can make riskier assets like cryptocurrencies more attractive.
Vikram Subburaj, CEO of Giottus, also shared his thoughts on Bitcoin’s current price. He explained that Bitcoin is consolidating, or trading within a range, around $58,000 as investors await the Federal Reserve’s decision on the interest rate cut. Subburaj further mentioned that a large amount of Bitcoin, worth about $750 million, was recently withdrawn from cryptocurrency exchanges, which could signal a reduced supply of Bitcoin available for sale. This could lead to a short-term price increase, but for this upward momentum to continue, Bitcoin would need to break through the $60,000 mark.
XRP, also known as Ripple, was one of the top performers on Friday, rising by 5%. The CoinSwitch Markets Desk explained that this surge came after Grayscale, a well-known investment firm, launched an XRP Trust. This is seen as a big development for XRP, as it could pave the way for an XRP-based exchange-traded fund (ETF) in the future. The introduction of this new trust indicates growing institutional interest in XRP, which could drive its price higher.
Looking at Bitcoin’s market dominance, which refers to how much of the total cryptocurrency market is made up of Bitcoin, it currently stands at 56.22%. This means Bitcoin still holds a significant portion of the overall market. However, Bitcoin’s market capitalization (the total value of all Bitcoins in circulation) dropped slightly to $1.145 trillion over the past 24 hours. The trading volume for Bitcoin in the same time period also decreased by 18.3%, falling to $30.13 billion. Despite this, stablecoins, which are cryptocurrencies pegged to stable assets like the U.S. dollar, continued to see significant trading activity, making up $54.15 billion, or 91.68%, of the total trading volume, according to data from CoinMarketCap.
Avinash Shekhar, Co-Founder and CEO of Pi42, weighed in on the current state of the market. He noted that Bitcoin’s price has seen a notable recovery, climbing back above $58,000 after briefly falling due to recent U.S. Consumer Price Index (CPI) data. The CPI measures inflation, and its release can affect investor sentiment. According to Shekhar, investors are becoming more optimistic as they anticipate next week’s Federal Open Market Committee (FOMC) meeting. Many believe that a 25 basis point (0.25%) interest rate cut will be announced, which could provide a further boost to the cryptocurrency market.
In summary, Bitcoin has managed to stay near $58,000 despite some market fluctuations, and the potential for an interest rate cut in the U.S. is fueling positive sentiment among investors. Other major cryptocurrencies, including Ethereum and BNB, saw slight declines, while altcoins like XRP enjoyed gains, thanks in part to institutional developments. As the market looks ahead to next week’s FOMC meeting, the outcome could have a significant impact on cryptocurrency prices moving forward.
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