Bitcoin and other crypto tokens were struggling on Friday, marking the fourth consecutive session of decline. The lower-than-expected inflation numbers in the United States pushed the dollar index and treasury yields higher, denting the sentiments for the riskier asset class.
Bitcoin was seen in red once again as the last crypto token declined marginally but managed to hold above 26,500 levels. However, its largest peer, Ethereum, dropped more than a per cent to slip below $1,550-level. Pain in the altcoins continued to weigh on the market sentiments.
The crypto market has been witnessing a slight dip for the sixth consecutive day. The dip in the crypto markets can be attributed to the September CPI data that came out the previous day, said Parth Chaturvedi, Investments Lead at CoinSwitch Ventures. “The US Dollar Index has climbed, pressuring ‘risk-on’ asset classes like equities and crypto,” he said.
All top crypto tokens were trading lower on Friday. Toncoin and Solana dropped about 3 per cent each, while Tron, Polkadot and Polygon shed about a per cent each. Shiba Inu inched up maringally, while the US dollar pegged USD Coin also inched maringally up in the early trade.
The global cryptocurrency market cap was trading significantly lower, dropping to $1.04 trillion-mark, as it declined about half-a-per cent in the last 24 hours. However, the total trading volumes tanked about 13 per cent to $22.64 billion.
Bitcoin has been trading around the $26,600 level. The US CPI for September rose by 0.4 per cent instead of the anticipated 0.3 per cent and triggered rise in the US Dollar index. This may have made investors slightly cautious regarding their investments, said Edul Patel, Co-Founder & CEO at Mudrex.
“Traditional markets have been impacted similarly. Bitcoin will now need to breach the resistance at $26,900 or will potentially seek support around the $26,500 mark. Meanwhile, Ethereum is currently at its weakest point since March 2023 and is trading above $1,500,” he added.
Image: Crypto-chart-price
Tech View by Giottus Crypto Platform
Dogecoin (DOGE)is currently facing difficulty breaching a previous resistance level ($0.061) and is in a downward momentum. DOGE attempted a rebound to this level this week that coincides with its 50-day moving average but price has instead broken down from a horizontal channel.
Image: Chart-DOGE
In case of a further decline, the recent low (at $0.056) serves as an early support level, with the $0.052 zone providing the next line of defence. Price may consolidate in the near term if it continues to hold $0.056 support. Its14-day RSI is in the oversold territory and is currently at 30.
Major Levels:
Support: $0.056, $0.052
Resistance: $0.061, $0.064, $0.067
(Views and recommendations given in this section are the analysts’ own and do not represent those of Business Today. Please consult your financial adviser before taking any position in the asset/s mentioned.)
