Crypto Markets remained unchanged on Monday and Tuesday after the liquidation discharge of $ 1.5 billion last week, but merchants remain cautious before a critical execution of US economic data that could establish the tone for October.
Bitcoin Bulls defended the support level of $ 110,000 several times during the past week, while Ether recovered from a strong fall to $ 4,075 that coincided with almost half a billion dollars in long leverage that are eliminated.
The total market capitalization is now about $ 3.85 billion, approximately 1.3% lower than a week before despite a weekend rebound of 3.5%.
The most recent FED rates cut initially provided a modest impulse to Bitcoin, but investors say that the way forward depends less on the flexibility of the past than in Tuesday’s discourse data and Powell’s next works that are scheduled to be launched on Friday at 8:30 am (et).
“The encryption market is located at a macroeconomic crossroads, trapped between a softening labor market and resistant economic growth,” said Nick Ruck, director of LVRG Research, in a message to Coindesk.
“This week’s data (consumer confidence, initial unemployment claims and the fundamental job report in September) will be critical to measure the next movement of the Fed. Any signal of greater cooling in the labor market could rek The pressure, “he said.
Job data shows how many people obtain or lose work in the economy of the United States. If fewer people are working and unemployment increases, it suggests that the economy is slowing down.
That generally makes the Federal Reserve more likely to reduce interest rates to support growth, which can increase risk assets such as actions and cryptography. But if the work numbers are strong and unemployment remains low, he points out that the economy is still hot. That can keep inflation, which makes the Fed less likely to reduce rates.
“It is likely that this macro uncertainty maintains the domain of Bitcoin, potentially limiting the rise for Ethereum and the broader defi sector despite its higher performance opportunities,” Ruck added.
The market structure reflects indecision. An indicator for the feeling fell to 28 on Friday, entering “Extreme Fear”, before recovering a 50th neutral for Monday. Bitcoin has consolidated in a strict range of $ 108,000 – $ 118,000, with open compressed interests and normalized financing rates after liquidations.
“The rebound comes from approximately the same levels as at the beginning of September,” said Alex Kuptsikevich, a senior market analyst in FXPRO, in an email. “Once again, the Altcoins are recovering stronger than BTC. Such superior performance in the early stages of recovery often indicates the future winners of the race, which in this case are Altcoins.”
Kuptsikevich said that Bitcoin’s technical levels remain fundamental: “At the end of last week, Bitcoin found support in 109,000. It bought approximately the same levels as at the end of August and even slightly higher, which is positive for the Bulls.”
“On the other hand, the September maximum is lower than the previous one, which usually indicates a decrease in volatility and a stronger movement towards a break beyond the range of $ 108-118K. The movements within the range can give many false signals in the short term,” he said.
Ethereum faces its own turning point. The analysts marked a potential fund, citing technical exhaustion after the sale of the sale last week. The Token is also focused after the launch of the first US ETF. With rethinking characteristics, rex shares and fishering eagle funds, with Blackrock and Fidelity applications still under the review of the SEC.
The news around Solana were added to Altcoin’s narrative. The total value of the blocked network increased to $ 12.2 billion, 57% more since June, which caused new calls for an objective price of $ 300. Memes currencies have also become more prominent, and the capitalization of the sector rises 70% for three months.
The regulatory holders, however, kept cautious. The Wall Street Journal reported that US regulators are investigating the potential exchange of integrated information linked to companies that accumulate cryptography reserves.
In other places, the Giant of the Moody’s qualifications warned separately that the rapid expansion of the use of stable in developing countries raises risks to monetary sovereignty and financial stability.
