Low trading volumes have been the hallmark of bitcoin (BTC)’s price action lately.
This week has not bucked the trend, with today’s reading of US$14bn exactly half of what it was this time last year.
Another V word, volatility, has been a bitcoin hallmark since its inception. Yet that too is showing historic lows.
Sadly two Vs don’t make a W in this instance. Bitcoin continues to trade sideways at US$16,800, having failed to break above US$17,00 since December 20.
Hawkish Federal Reserve comments, encouraged by puzzlingly strong employment data (aren’t we in a recession?) are sure to heap pressure on the BTC/USDT pair, at least in the short term.
Put simply: Don’t expect a rally just yet.
Bitcoin’s low volatility and low volumes is not a good combination for bulls – Source: currency.com
Ethereum (ETH) remains below its own psychological US$1,250 barrier, albeit by only a few dollars on the ETH/USDT pair, having closed lower yesterday and continued the trend this morning.
Investors could expect further ETH downside to US$1,235 before buyers are will to step in.
Huobi Token (HT) remains the worst performer in the altcoin space, having dipped 11.5% in the past week amid news of layoffs and internal strife at the Seychelles-listed cryptocurrency exchange.
On the upside, long-suffering Solana (SOL) holders continue to enjoy gains; their bags are now 45% up week over week, while Cardano (ADA) and Litecoin (LTC) are also outperforming the market.
Solana’s rally coincides with the recent airdrop of hit meme coin Bonk on the blockchain, which preceded a substantial uptick in Solana-based trading activity.
Yet Bonk’s time in the spotlight may not last long; it fell 50% in value in the past 24 hours as early adopters rush for the exits.
Global crypto market capitalisation currently stands at US$815bn, while total value locked across all decentralised finance (DeFi) protocols is US$39.5bn.