Cryptocurrency Market Shows Signs of Stabilization as Bitcoin (BTC) Price Dips 0.17%

Cryptocurrencies showed signs of stabilization on Monday, displaying resilience amid ongoing macroeconomic concerns. Bitcoin experienced a slight dip of 0.17%, trading at around $94,920 on international exchanges by 04:38 ET (08:38 GMT). Meanwhile, Indian exchanges reported a loss of approximately 1%, pricing Bitcoin at $95,400.

At the same time, a report by Coinswitch on Monday highlighted the strength of Bitcoin at lower price levels.

“Bitcoin’s weekly volatility has reached a 563-day low, showcasing its increasing maturation as a global financial asset,” said Alankar Saxena, Co-founder and CTO of Mudrex.

Bitcoin is now encountering resistance at the $95,500 level, with support shifting to $93,000. This stability arrives as the market digests recent economic data from the U.S., which has sparked concerns about stagflation. Despite a brief surge above $95,000, Bitcoin’s price has since retracted, reflecting the cautious sentiment among investors.

In other developments, ether, the second-largest cryptocurrency, saw a minor increase of 0.31%, trading at $1,810 on international exchanges. On Indian platforms, it is priced slightly higher at $1,824.

Avinash Shekhar, Co-Founder and CEO of Pi42, noted that Ethereum is currently consolidating and may be poised for a shift in market dominance, depending on future trends. The overall sentiment in the cryptocurrency space remains optimistic, with many investors looking for signs of a potential upward movement in prices.

Despite the positive outlook for Bitcoin and Ethereum, many altcoins faced losses on Thursday.

Among the cryptocurrency losses, Ripple fell by 2.48%, Solana lost 1.92%, and Binance Coin declined by 1.37%. Dogecoin went down by 1.27%, Cardano experienced a loss of 1.16%, and Chainlink saw a decrease of 0.98%. Other assets such as Tron, Uniswap, and Bitcoin SV also recorded declines.

In terms of market capitalization, the total cryptocurrency market cap saw a reduction of 0.26% over the last 24 hours, reaching $2.96 trillion. However, a few cryptocurrencies, including Leo, Monero, Floki Inu, and Zcash, managed to maintain small gains.

The cryptocurrency market’s recent downturn has been influenced by unfavorable economic indicators from the United States.

A report from the Bureau of Economic Analysis revealed that the U.S. economy experienced a smaller-than-expected contraction in the first quarter, with a 1.0%. Moreover, a report from the Labor Department showed that private-sector jobs fell by 149,000 in April, contrasting with economists’ anticipations of a gain of 38,000 jobs.

The reports from the U.S. have heightened concerns about potential stagflation, leading to increased caution among investors in their financial decisions.