The two largest currencies were trading in negative territory on Sunday night, in a day in which the global market capitalization of cryptocurrencies had dipped 1.05% to $1.08 trillion at press time.
|Currency||24 hours||7 days||Price|
|Ethereum (CRYPTO: ETH)||-1.2%||5.1%||$1,678.08|
|Dogecoin (CRYPTO: DOGE)||-1.9%||1.45%||$0.07|
|cryptocurrency||% change in 24 hours (+/-)||Price|
|Internet Computer (ICP)||+9.5%||$9.03|
Because it is important
Cryptocurrencies, buoyant over the weekend, appear to be running out of steam ahead of a new trading week.
Bitcoin hit a high of $24,572.58 over the weekend and has since dropped 5.1% from that level.
Cryptocurrencies continue to line up with stocks. S&P and Nasdaq futures were each down 0.4% at press time. Heading into a new trading week, investors will be watching a series of earnings data and the Non-Farm Payrolls report from the US Bureau of Labor Statistics.
Cryptocurrency investors should keep an eye on the S&P 500, where the area below 4,200 will be “critical,” according to trader Justin Bennett.
Bennett referenced the correlation between Bitcoin and the S&P500, saying that if there were to be a sell-off in the index, the apex coin would “probably follow” suit, even if it took a day or two to do so.
The Federal Reserve has room for more aggressive hikes as personal income and spending data remain strong, said Edward Moya, senior market analyst at OANDA.
“A couple more reports on inflation and employment will dictate how the Fed will behave, depending on the data, after the summer,” Moya said in a note seen by Benzinga.
Still, there are signs that cryptocurrencies may be leaving the “winter” mindset behind and gearing up for a continued relief rally through the summer, he added.
“The ‘crypto winter’ might be over and that’s what it takes to get flows back into the space,” Moya stated.
Michaël van de Poppe alluded to the movement of so-called altcoins, which he claimed moved “from left to right.”
The crypto trader commented that short positions were “being stopped or liquidated”. “It’s summer relief!” said the trader.
Investor sentiment indicator Alternative.Me’s ‘Crypto Fear & Greed Index’ showed “Fear” as the new trading week began. The index was at 33 points at the close of this edition, while last week it was at 30 (a value of 0 means “Extreme Fear” or “Extreme Fear”, while 100 indicates “Extreme Greed” or “Extreme Greed”)
Decentralized finance pioneer Yearn.Finance ‘s (YRN) token broke the $10,000 barrier for the first time since May 16, when the DeFi asset decoupled from other altcoins, Santiment noted.
The market intelligence platform tweeted: “Watch out for addresses holding $1M or more in $YFI as there have been declines in their holdings.