Markets
Cryptocurrency markets nervous ahead of CPI data
Anxiety ahead of the release of monthly US CPI data on Thursday morning has kept cryptocurrencies in check markets nervous. The overall cryptocurrency market cap is currently stable at $2.15 trillion. Among the top 10 cryptocurrencies, Bitcoin, Solana, Toncoin, and Avalanche have declined while Ethereum, BNB, XRP, Dogecoin, Cardano, and TRON have seen gains in the past 24 hours.
Market concerns can be attributed to the expected spike in inflation. Despite recent disinflationary trends, month-on-month consumer price inflation, which was flat the previous month, is seen rising to 0.1 percent in June. The headline component of the same is seen stable at 0.2 percent.
Markets, however, expect the annual headline CPI to decline to 3.1 percent from 3.3 percent the previous month. The headline component is expected to hold steady at 3.4 percent.
Federal Reserve Chairman Jerome Powell said in his recent testimony to Congress that the central bank would not wait for inflation to hit 2 percent before cutting rates. He did, however, reiterate that more data is needed to conclusively demonstrate disinflationary tendencies. June producer price inflation readings due Friday, as well as second-quarter GDP readings and PCE-based inflation readings due two weeks later, are expected to guide the Fed in its next interest rate review scheduled for July 31. Markets overwhelmingly expect the Fed to maintain the status quo on rates at the next FOMC meeting.
Bitcoin has slipped half a percent in the past 24 hours to trade at $58,272.43, about 21 percent below its all-time high. The 24-hour trading range was $58,698 to $57,120. Bitcoin is holding onto weekly gains of 1.5 percent and annual gains of 38 percent. Bitcoin currently dominates 53.4 percent of the overall cryptocurrency market.
The latest data from Farside Investors showed net inflows of $147 million into Bitcoin Spot ETF products in the United States on Wednesday, up from net inflows of $216 million on Tuesday. Fidelity Wise Origin Bitcoin Fund (FBTC) hit a high with inflows of $58 million.
Meanwhile, Bitcoin enthusiasts have been thrilled by the news that Republican presidential candidate Donald Trump has announced his presence at the Bitcoin 2024 conference scheduled for later this month.
Ethereum is up 1.6 percent over the past 24 hours, settling at $3,142.13. The 24-hour trading range was $3,148 to $3,056. Ether is holding weekly gains of 0.2 percent and annual gains of 38 percent. Ether currently dominates 17.5 percent of the overall cryptocurrency market.
BNB (BNB), ranked fourth, gained 1.4 percent overnight to $531.74. BNB’s gains came amid a U.S. court ruling that rejected the SEC’s claim that secondary sales of BNB violated securities law.
Solana (SOL), ranked fifth, fell 0.85% over the past 24 hours to $142.28.
Seventh-ranked XRP is up 1 percent overnight, settling at $0.4458. With a loss of over 27 percent in 2024, XRP is the highest-ranked cryptocurrency to trade in the red zone on a year-over-year basis.
Toncoin (TON), ranked eighth, lost 2.5 percent overnight to $7.15. TON has gained 209 percent in 2024.
Dogecoin (DOGE), ranked ninth, gained 0.4% overnight to trade at $0.1091.
Tenth-ranked Cardano (ADA) gained 2.2 percent overnight to trade at $0.393, limiting its year-to-date losses to less than 34 percent.
Stacks (STX), ranked 32nd, overtook overnight gains with an 11.8% surge. Lido DAO (LDO), ranked 53rd, followed with gains of over 7%.
Immutable (IMX), ranked 45, overcame overnight losses with a decline of nearly 5 percent. Avalanche (AVAX), ranked 12, followed with losses of 4.8 percent over the past 24 hours. Bittensor (TA), ranked 48, also lost 4.7 percent over the past 24 hours.
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Of Avila SebastianRTTNews Staff Writer
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