Weekly Crypto Roundup: Bitcoin Closes in Negative Territory, While Certain Alternative Coins Weather Volatile Week
Crypto markets experienced significant volatility this week, showcasing the unpredictable nature of digital assets. Bitcoin, for instance, saw its value drop below $50,000 per coin on Monday following concerns about the US economy triggered by a jobs report. Simultaneously, a trading strategy known as the “carry trade” faced challenges as the Japanese yen strengthened against the dollar due to the Japanese central bank’s interest rate hike, leading to a sell-off in risk assets.
The crypto market was further impacted by escalating tensions in the Middle East, causing a broad decline in various assets, including Bitcoin. However, as the week progressed, major cryptocurrencies and tokens, along with US stocks, rebounded as better-than-expected unemployment data was released.
Bitcoin closed the week at $60,440, marking a 3% decrease from the previous week’s value. Ethereum experienced more significant losses, dropping over 12% to reach $2,605 by the week’s end. Experts highlighted that ETH investors tend to be less loyal compared to Bitcoin or Solana investors, making Ethereum susceptible to larger sell-offs.
Among major altcoins, XRP stood out as a notable gainer despite the overall market downturn. Ripple, the company associated with XRP, was ordered to pay a $125 million fine by the Securities and Exchange Commission, a significant reduction from the initially requested $2 billion penalty. This news propelled XRP’s value upwards, although the coin ended the week up by only 2%, trading at $0.58.
Another standout performer was Sui, a digital asset that surged over 35% in seven days after Grayscale, a prominent crypto asset manager, announced the launch of a fund for the coin. Created by former Meta engineers, Sui is currently priced at $0.87.
In summary, the crypto market’s rollercoaster ride this week underscored the sector’s inherent volatility, with various factors influencing price movements across different digital assets.
