Bitcoin Drops To $65K; Swiss Bank Rate Cut Trigger Dollar Rally
By Laxmikant Khanvilkar
Virtual digital assets (VDA) have succumbed to the pressure from strong U.S. dollar, which has managed to reverse entire previous day losses, after the Swiss central bank, in a surprise move, cut interest rates by 25 basis points.
While stronger dollar lowers investment appeal of other assets, the Swiss banks decision is expected to spark similar move from other central banks.
As a result, cryptocurrencies suffered losses in the past 24-hours led by Bitcoin (BTC), the largest cryptocurrency by market capitalisation. BTC dropped nearly 3% to $65,751 after having surged to $68,000. The spectacular bounce was spurred by a dovish tone from the Federal Reserve.
Major altcoins like Ethereum (ETH) and Solana (SOL) have retreated lower.
Ethereum (Ether), the second largest cryptocurrency by market capitalisation, was down 0.8% to trade at $3,488.
Elsewhere, payment network Ripple’s native asset (XRP), decentralized data storage platform Filecoin’s crypto (FIL) and the Internet Computer’s token (ICP) advanced, while native tokens of layer 1 networks Solana (SOL), Avalanche (AVAX) and Aptos (APT) declined.
The global crypto market cap decreased 1.6% to $2.51 trillion in the last 24 hours. Simultaneously, the total crypto market volume fell 28% to $120 billion. Total volume in DeFi is currently $11 billion, and all stablecoins are $107.7 billion, representing 9% and 89.7%, respectively, of the total crypto market 24-hour volume. Bitcoin’s dominance is currently 51.6%, down 0.6% over the day.
The IC15 index, the barometer of the top fifteen tokens, eased 2.2% to 84,664.
Meanwhile, market analytics firm Swissblock said that bitcoin completed its pullback before Wednesday’s bounce, reaching almost their target price of $58,000-$59,000 when they called for an imminent cool-off phase last week.
In other news, brokerage firm Bernstein has raised its year-end bitcoin price forecast to $90,000 from $80,000 and updated estimates for mining stocks.
You need to login in order to Like
