Cryptocurrency Update: Bitcoin, Ethereum, and Ripple Maintain Stability Amid Slight US Inflation Decline
Bitcoin, Ethereum, and XRP saw positive movements in the crypto market on Wednesday, with Bitcoin trading above $61,000, Ethereum aiming for the $3,000 level, and Ripple holding firm above key support at $0.57. The sentiment among traders improved as they reacted to US macroeconomic data.
Bitcoin, the leading cryptocurrency by market capitalization, was trading at $61,063 on Wednesday. The crypto fear and greed index rose from 26 to 30 on August 14, indicating a sentiment of “fear” among traders. Institutional investors are showing interest in spot Bitcoin Exchange Traded Funds (ETFs), with nearly $39 million in inflows recorded on August 13.
Ethereum edged closer to the psychological target of $3,000 on August 14, trading at $2,729. Meanwhile, XRP maintained its position above the crucial support level of $0.57, supported by positive developments within the Ripple ecosystem.
In macroeconomic news, the US Consumer Price Index (CPI) inflation rate decreased to 2.9% on a yearly basis in July, down from 3% in June, according to the US Bureau of Labor Statistics report on Wednesday. This decline aligns with market expectations, indicating a cooling of inflation.
Looking at the charts, AAVE was noted to have the potential to extend gains by 11.17% and reach $114.74. The DeFi token faces resistance at $112, a significant level since mid-April 2024. AAVE could find support at $86, with the Relative Strength Index (RSI) at 54.41, signaling positive momentum.
Grayscale initiated transfers of holders’ 2.31 million Ether worth over $6 billion to Coinbase Prime, as per on-chain data. Large wallet investors in Bitcoin started accumulating the asset following a pullback in early August, with more selling activity compared to buying.
In the blockchain space, Neutron, Sui Network, and Flare Networks emerged as the top 10 blockchains by growth in total value of assets locked (TVL), according to data from Cryptorank.io.
Industry updates include MetaMask rolling out a blockchain-based debit card in collaboration with Mastercard and Baanx. Bitmex co-founder Arthur Hayes predicted Bitcoin could reach $100,000 by late 2024 and potentially hit $1 million by 2025. Bitcoin podcaster Stephan Livera discussed the Dark Skippy attack on Bitcoin hardware wallets to raise awareness about potential risks.
Bitcoin, altcoins, stablecoins FAQs cover essential information about cryptocurrencies, with Bitcoin dominance reflecting its market capitalization compared to the total market capitalization of all cryptocurrencies. Bitcoin’s dominance often influences market trends, with shifts indicating investor interest in either Bitcoin or altcoins.
Overall, the crypto market showed positive movements and developments across various cryptocurrencies and industry players on Wednesday.
