The post Why Is The Crypto Market Up Today appeared first on Coinpedia Fintech News

Bitcoin, the world’s largest cryptocurrency by market cap, is generating excitement as its price surges toward its previous all-time high (ATH). Currently, Bitcoin is trading at $69,578, marking a 3.09% increase in the last 24 hours. Ethereum is also on the rise, trading at $3,353, while Solana stands at $193, and Ripple’s XRP is at $0.607.

At the same time, the global crypto market has increased by 3.5%, reaching $2.48 trillion. Many are curious about the reasons behind why the crypto market is up today.

Trumps Promises To Crypto Community 

At the Bitcoin Conference, presidential candidate Donald Trump pledged to make the United States the “crypto capital of the planet” and a “Bitcoin superpower.” He stated, “If crypto is going to define the future, I want it to be mined, minted, and made in the USA.”

Trump also plans to fire SEC Chair Gary Gensler on his first day in office, aiming to appoint a new chairman who supports innovation in crypto rather than blocking the future.

 Inflation Eases Ahead of Fed Meeting

The easing of inflation is another key factor boosting market optimism. As inflation pressures decrease, expectations have risen for the Federal Reserve to implement rate cuts. Such measures typically encourage investment in riskier assets like cryptocurrencies, as lower interest rates reduce borrowing costs and can drive more funds into markets. 

Investors are eagerly awaiting the Federal Reserve’s position on interest rate cuts, which will be revealed at the FOMC meeting on July 31.

Crypto Whales Increase Their Holdings

Unusual Whales, a platform providing insights into the activities of large investors, reported increased buying activity from crypto whales over the weekend. 

These substantial investors, known for their ability to influence market trends, have been accumulating cryptocurrencies, contributing to the upward momentum. Their actions suggest confidence in the market’s potential for further gains.

Memecoin Market In Green

Alongside Bitcoin, other major cryptocurrencies are also experiencing positive trends. Memecoins have been trading in the green, with popular memecoin Doge trading at $0.134. Its rival coin, Shiba, is hovering at $0.0000172, while Pepe, the frog-themed meme coin, is at $0.00001222.

#News
[Source: Coinpedia]

The post Why is the Crypto Market Up Today? appeared first on Coinpedia Fintech News

Markets for bitcoin and other cryptocurrencies surged ahead of inflation data and a Santa Claus rally, determined by US PCE inflation. Today, the United States Bureau of Economic Analysis is set to unveil the inflation data for November’s consumption expenditures (PCE). 

Macro Factors and Monetary Policy Outlook

As investors await the release of the U.S. personal consumption expenditures (PCE) inflation data for November, the crypto market finds itself at a pivotal juncture.  Anticipating a further cooling of the annual PCE inflation rate to 2.8% from last month’s 3%, investors are keenly eyeing the monthly rate, which is expected to remain steady.

The Core PCE considered the Federal Reserve’s preferred inflation gauge, is projected to rise 0.2% month-on-month, with the annual rate predicted to dip to 3.3%, marking its lowest level since 2021. 

Meanwhile, the market sentiment aligns with recent signals from Fed Chair Jerome Powell, projecting three rate cuts in 2024. The market assigns a 45% chance to the Fed initiating rate cuts in March, with a 71% probability of a 25 bps rate cut, according to CME FedWatch. 

Crypto Rally in the Spirit of Santa Claus

Against this backdrop, Bitcoin and major cryptocurrencies like Ethereum, Solana (SOL), BNB, XRP, Cardano (ADA), and Avalanche (AVAX) are painting a festive picture in the crypto market. The anticipation of a Santa Claus rally is palpable as these digital assets exhibit upward momentum.

Bitcoin, with a 1% increase over the last 24 hours, hovers around $43,780. However, a simultaneous 18% drop in trading volume indicates a cautious market approach. 

As Friday’s options expiry looms, with 25,000 BTC options and 217,000 ETH options set to expire, worth $1.11 billion and $490 million, respectively, the market braces for potential profit booking and associated price fluctuations.

#News
[Source: Coinpedia]

The post Why Is The Crypto Market Up Today? appeared first on Coinpedia Fintech News

The price of Bitcoin recorded a new yearly high, crossing the $36,500 mark for the first time in 2023. The market dominance of BTC price has reached a high of 52.1%, indicating the increasing demand for the star crypto.

The total Market Cap has increased by over 3% within the past day, with the valuation now at $1.38T. Bitcoin price has recorded a gain of over 3% in value within the past day, following the footsteps of the market leader, Ethereum, the largest altcoin, which added approximately 2%.

Cardano ADA price has been gaining significant attention as this crypto has gained approximately 3% within the past day and has surged over 23% within the past week, making it one of the best performers in the industry and the top performer among the top coins.

On the other hand, the MINA price has secured the spot of top gainer with over 21% jump in value in the past day and has recorded a massive jump of approximately 90% within the past month, almost doubling its value, following this stands NEO token and AAVE token with gains of 13.81$ and 12.36% within the past day.

Possible Reasons For The Price Pump:

The prime reason for the bullish sentiment in the market is assumed to be the news of the SEC’s short window to approve the spot ETFs, which starts today. This has sparked the industry as many investors eagerly await a decision to roll out soon.

The approval of the spot ETFs could result in the market experiencing massive bullish movement, which could further result in the industry experiencing a possible bull run in the coming time.

Moreover, the rising interest among investors toward the idea of cryptocurrencies and the inclining inflow of institutional investors have also played a significant role in the uptrend of the crypto industry.

#PriceAnalysis
[Source: Coinpedia]

The post Why is the Crypto Market Up Today? appeared first on Coinpedia Fintech News

In a surprising turn of events, the cryptocurrency market is experiencing a significant upswing today, with Bitcoin’s current value standing at an impressive $34,628. This surge in value follows a pivotal moment in the financial industry, as the Federal Open Market Committee (FOMC) recently concluded its second-to-last meeting of the year, opting to maintain a steady stance on interest rates.

The Fed’s Role in the Crypto Market

Over the past year, the United States has grappled with skyrocketing inflation rates, reaching a staggering 9.1% in June 2022. To combat this issue, the Federal Reserve took a bold approach by implementing a series of interest rate hikes. These aggressive measures successfully brought the Federal Funds Rate to a range between 5.25% and 5.5%—a level not seen since 2001. This assertive strategy has proven effective, as inflation has slowed to a more manageable 3.7%.

Anticipation for the Next Financial Report

The next critical event on the horizon for the financial markets is the Bureau of Labor Statistics’ inflation report, scheduled for release on November 14. A further decrease in inflation could trigger a wave of investments into riskier assets as investors speculate on potential interest rate cuts in upcoming FOMC decisions. Such a scenario could boost both equity and bond markets, with bonds experiencing lower yields and a flattening of the yield curve.

Crypto’s Connection to Traditional Markets

The cryptocurrency market is intricately connected to these broader financial movements, and Bitcoin is no exception. Its value is expected to mirror the trends seen in traditional markets.

The ETF Buzz

Adding an extra layer of excitement to the crypto space is the anticipated approval of the first U.S.-based Bitcoin spot ETF, predicted by J.P. Morgan to occur before January 10. The rumors surrounding BlackRock’s ETF application have already given Bitcoin a significant boost, pushing its value back to the $35,000 mark.

MicroStrategy’s Success with Bitcoin

Business intelligence giant MicroStrategy is riding the wave of optimism, boasting a paper gain of $900 million on its vast Bitcoin holdings. Since the third quarter, the company has been actively bolstering its cryptocurrency holdings, accumulating 6,067 Bitcoin, including an additional 155 in October alone.

Navigating the Current Market

Despite the current optimism, the market remains in a state of flux. The Relative Strength Index (RSI) indicates an overbought situation, suggesting that further consolidation may occur in the coming days. Bitcoin’s critical price levels now stand at $35,800 on the upper end and $33,000 on the lower end.

A drop below the support level could lead to Bitcoin retracting to its 20-day exponential moving average of $32,000, potentially setting the stage for a showdown between the bulls and the bears. Conversely, a breakthrough above $35,800 could signal a resumption of Bitcoin’s upward trend, possibly propelling its value toward the coveted $40,000 milestone.

#PriceAnalysis #Altcoins #Bitcoin
[Source: Coinpedia]