Aug 12 2024: Bitcoin’s price declined on Monday, continuing a weekend sell-off as sentiment in the cryptocurrency market remained weak following a significant downturn over the past month.
Cryptocurrencies had seen some relief towards the end of last week, tracking a broader financial market rebound as investors grew optimistic that fears of a U.S. recession might be overstated. However, this optimism diminished over the weekend, leading to further selling pressure in the past two days.
As of 01:52 ET (05:52 GMT), Bitcoin had fallen by 4.3% to $58,520.7. Trading volumes were relatively low due to a Japanese market holiday.
Bitcoin Remains Rangebound After Drop to $49K
Over the past week, Bitcoin has remained rangebound between $50,000 and $60,000, following a drop to $49,000 earlier. Sentiment in risk-driven markets remains cautious, particularly with key U.S. inflation data due on Wednesday. This data is expected to provide insights into the Federal Reserve’s plans regarding interest rate adjustments.
While stock markets have shown some recovery recently, with Asian shares gaining on Monday, the cryptocurrency market has lagged behind, reflecting its more speculative nature. Additionally, a stronger U.S. dollar has exerted pressure, as traders anticipate that Wednesday’s inflation report will indicate further cooling in July, potentially leading the Fed to start cutting interest rates.
Crypto Prices Today: Altcoins Decline, XRP Rally Fades
The broader cryptocurrency market also saw declines, with the drop in Bitcoin affecting major altcoins. Ethereum, the second-largest cryptocurrency, fell by 4.3% to $2,549.22.
XRP experienced a 4.7% drop to $0.5625, retreating from a strong rally the previous week. Despite Ripple Labs being ordered to pay a reduced penalty by the Securities and Exchange Commission for the illegal sale of securities, the case has not clarified the regulatory status of crypto tokens.
Other altcoins also experienced losses, with ADA and SOL sliding by 5.8% and 8.3%, respectively. Memecoins SHIB and DOGE each fell by over 6%.
