Updated February 6th, 2024 at 12:14 IST

Crypto market remains stable, Bitcoin trades at $42,718

The overall market has been relatively quiet recently as BTC consolidates around the $43,000 level, say experts.

Reported by: Anirudh Trivedi
Bitcoin regulation | Image:Unsplash
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Crypto market overview: The leading cryptocurrencies are trading in a narrow range with Bitcoin trading 0.09 per cent down to $42,718 and Ethereum at 0.62 per cent up to $2,310. The total market capitalisation of the crypto industry has also seen a minor uptick of 0.6 per cent, continuing the positive momentum from yesterday. 

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The Crypto Fear and Greed Index also exhibited increasing confidence in the market with a 4-point gain in the last 24 hours. 

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Image credit: Alternative.me

Talking to Republic Business about the crypto market movement, CoinDCX Research Team said, “In the past 24 hours, the crypto market initially remained stable but later saw a decline, impacted by the fall in the US market and Coinbase shares. The overall market has been relatively quiet recently as BTC consolidates around the $43,000 level. However, on a higher time frame, BTC exhibits a bullish trend with confirmations from EMAs.” 

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“ETH is following a similar price action to BTC, and both cryptocurrencies need to break out of their current consolidations to signal a significant move in either direction,” added CoinDCX. 

CoinSwitch Markets Desk said, “As BTC has been trading in a narrow channel for more than a week now, the up-trend still remains intact with $42,000 being the level to break on the downside and $44,000 on the up-side. However with Blackrock now holding more than $2 billion worth of BTC, bears will have to instil some massive amount of fear to break it to the downside.” 

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“Simultaneously, in the otherwise concluded XRP (+0.9 per cent) vs SEC case, a US court judge has granted SEC's request to Ripple to produce certain financial statements. These proceedings will decide the extent to which XRP will owe penalties for unregistered securities offerings for its institutional sales,” CoinSwitch added.

Talking about the Fed rate impact on the Bitcoin, Edul Patel, CEO, Mudrex said, “Federal Reserve Chair Jerome Powell's statement that the Fed had little intention to cut rates in March did not shake the bullish sentiment, with the $42,000 level being defended. BTC now eyes the $43,800 resistance, with support at $41,300. Meanwhile, Ethereum is currently trading at $2,300, and a potential bullish movement towards $2,600 could be triggered upon surpassing the $2,400 level. Until then, Ethereum is expected to trade sideways.” 

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Sharing the market potential for today, Vikram Subburaj, CEO, Giottus said, “Bitcoin experienced a slight gain of 1 per cent today and continues to consolidate in a tight range between $42,300 and $42,800. With its RSI at 51, BTC could continue in this phase of consolidation, before retesting the $44,000 mark. Bitcoin dominance has declined marginally as altcoins had a modest green day.  Key altcoins, including Ethereum, Solana and XRP, have gained 1-2 per cent today while Chainlink has ascended into the top 10 list with an impressive 28 per cent rally over the week.”  

“Short-term upside targets for key altcoins: Ethereum ($2,400), BNB ($310), Solana ($102), Cardano ($0.54), and Polkadot ($7),” added Subburaj. 

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Shivam Thakral, CEO of BuyUcoin said, “The total crypto market cap stands around $1.64T, a 0.73 per cent increase over the last day. The selling pressure by Grayscale which has sold 141,00 Bitcoin is being absorbed by 175,000 Bitcoin bought through ETFs.The  Cumulative spot Bitcoin ETF volume has also crossed the $30B threshold reflecting a huge demand for Bitcoin in the Spot ETFs. Bitcoin has persistently attempted to breach the $44,000 level for several weeks but it has been hindered by low trading volume.”

In other news, GoDaddy announced that its users can now link domain names with Ethereum Name Service, ENS at no extra cost. This is a big boost for both Ethereum and the ENS token.

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Published February 6th, 2024 at 12:14 IST