Crypto Market Watch: Bitcoin, Ether Prices Down Amid Rise in Value of Stablecoins

Bitcoin on Friday registered a small loss of 0.37 percent to trade at $29,200 (roughly Rs. 24 lakh) as the overall crypto price chart reflected what appeared to be almost equal proportions of profits and losses for several cryptocurrencies. The value of Bitcoin has been volatile for the past few days. While the market has been oscillating sideways for days, factors like the US government raising the interest rates once again have also impacted the market movement of the world's most widely used cryptocurrency. Over the past 24 hours, the value of BTC has fallen by $165 (roughly Rs. 13,570).

Ether registered a loss of 0.40 percent on Friday. The second-most valued cryptocurrency after Bitcoin, ETH is currently trading at $1,860 (roughly Rs. 1.53 lakh), as per the crypto price tracker by Gadgets 360.

“This dip follows news about the Bank of Japan's consideration of changes to its yield curve control policy to manage real-time interest rates. Over the past 24 hours, BTC remained relatively unstirred by the interest rate hikes from both the US central bank and the European Central Bank. However, if BTC fails to surpass the $29,300 (roughly Rs. 24 lakh) resistance level, there could be further downward movement,” Edul Patel, CEO of Mudrex crypto investment firm told Gadgets 360.

Dogecoin, Litecoin, Polygon, Polkadot, Shiba Inu, and Avalanche — all recorded losses alongside BTC and ETH on Friday.

Price dips were also registered by Cosmos, Monero, and Elrond, as the overall valuation of the crypto market slipped by 0.61 percent in the last 24 hours. Its capitalisation, at the time of writing, stood at $1.18 trillion (roughly Rs. 97,04,768 crore), according to CoinMarketCap.

The fear and greed index, up by a point from yesterday, continues to remain in the neutral zone with a score of 52/100. “The crypto market has traded in a tight range in the last 24 hours. The Federal Reserve's interest rate hike, followed by a higher-than-expected US GDP, raises concerns about prolonged high rates. This may impact the market's future price action, as investors may begin to move towards ‘risk-off' asset classes,” Parth Chaturvedi, Investments Lead, CoinSwitch Ventures told Gadgets 360.

On the other hand, stablecoins were trading in profits on Friday. These included Tether, USD Coin, and Binance USD. Binance Coin, Cardano, Solana, Tron, Stellar, and Chainlink, also managed to mint small gains.

In other news, the US House Agriculture Committee has advanced the Financial Innovation Technology for the 21st Century Act, which would create a federal regulatory framework for crypto in the US. The bill proposes to give the Commodity Futures Trading Commission (CFTC) primary regulatory authority over crypto exchanges and other trading platforms. After being approved by a voice vote, it will now go to the full House of Representatives for a vote.

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