Cryptographic markets remained unchanged on Monday and Tuesday after the liquidation ride of $ 1.5 billion from last week, but merchants remain cautious before a critical series of American economic data that could set the tone for October.
Bitcoin Bulls defended the level of support of $ 110,000 on several occasions in last week, while Ether returned from a sharp drop to $ 4,075 which coincided with almost half a billion long long.
Total market capitalization is now nearly 3.85 billions of dollars, or approximately 1.3% less than a week earlier despite a 3.5% weekend rebound.
The reduction in the most recent rate of the Fed initially allowed a modest increase in Bitcoin, but investors say that the path to follow depends less on the past softening than on the word of Powell and the upcoming data of jobs which should be published Friday at 8:30 am (and).
“The cryptography market is at a macroeconomic crossroads, taken between a softening of the labor market and resilient economic growth,” said Nick Ruck, director of LVRG Research, in a message to Coindesk.
“This week’s data – consumer confidence, initial unemployment complaints and the September pivot report will be essential to assess the next Fed movement. All signs of new labor market cooling could rekindle tariff expectations, providing strong data can extend the current period of uncertainty and pressure, “he said.
Employment data shows how many people get or lose work in the American economy. If fewer people work and unemployment increases, it suggests that the economy slows down.
This generally makes the federal reserve more likely to reduce interest rates to support growth, which can increase risk assets such as actions and the crypto. But if the work numbers are strong and unemployment remains low, it indicates that the economy is still hot. This can maintain high inflation, making Fed less likely to reduce rates.
“This macro uncertainty is likely to maintain the domination of Bitcoin, potentially capping the advantage of the rise for Ethereum and the wider challenge sector despite their higher performance opportunities,” added Ruck.
The structure of the market reflects indecision. Friday, a garage of feeling fell to 28, entering an “extreme fear”, before returning to a neutral 50 by Monday. Bitcoin was consolidated in a tight range of $ 108,000 at $ 118,000, with compressed rates and open and standardized financing rates after liquidations.
“The rebound comes about the same levels as at the beginning of September,” said Alex Kuptsikevich, main analyst of the market at FXPro, in an email. “Again, altcoins come together stronger than the BTC. Such outperformance in the early stages of the recovery often indicates the future winners of the race, which in this case are altcoins. ”
Kuptsikevich noted that the technical levels of Bitcoin remain essential: “At the end of last week, Bitcoin found support for 109,000. It was bought roughly at the same level as at the end of August and even slightly higher, which is positive for Bulls.”
“On the other hand, the local summit in September is lower than that previous, which generally indicates a reduction in volatility and a stronger movement towards an escape beyond the beach from $ 108 to 118,000. The beach movements can give many false signals in the short term,” he noted.
Ethereum faces its own inflection point. Analysts reported a potential background, citing technical exhaustion after the sale last week. The token is also developed after the launch of the first American ETF with staging features, Rex actions and Balbuzard fishermen’s funds, with BlackRock and Fidelity applications still in virtue of the SEC exam.
The news around Solana added to the story of Altcoin. The total value of the locked network has increased to $ 12.2 billion, up 57% since June, has caused new calls for a price of $ 300. The same parts have also become larger, the capitalization of the climbing sector of 70% over three months.
The regulatory securities, however, maintained suspicious merchants. The Wall Street Journal said that American regulators were surveying a potential development of initiates linked to companies accumulating crypto reserves.
Elsewhere, the giant of Moody’s assessments has warned separately that the rapid expansion of the use of stables in developing countries presents risks for monetary sovereignty and financial stability.
