Bitcoin and Ethereum See Price Fluctuations Amidst Market Volatility
Bitcoin and Ethereum experienced price fluctuations in recent days, with Bitcoin reaching above $98,000 before losing some of its value. Ethereum, on the other hand, hit the upper reaches of $2,700. Both cryptocurrencies saw a significant jump in trading volume, indicating increased market activity.
Despite the recent price movements, Bitcoin has lost 4.46% of its value since February began, compared to its average monthly return of 14.11%. This suggests a potential slowdown in the cryptocurrency's growth.
In the past 24 hours, over 137,000 traders were liquidated, with total liquidations exceeding $308 million. This highlights the volatility and risk associated with cryptocurrency trading.
Market sentiment remained neutral, according to the Crypto Fear & Greed Index, indicating a lack of strong conviction among investors. The global cryptocurrency market capitalization stood at $3.23 trillion, gaining 2.47% in the last 24 hours.
Meanwhile, major stock indexes experienced a decline on Wednesday, with the Dow Jones Industrial Average falling 0.50% and the S&P 500 dropping 0.27%. This decline was attributed to concerns about inflation, as the January Consumer Price Index rose 3% year-over-year, exceeding expectations.
Analysts are closely watching Bitcoin and Ethereum, with key resistance levels identified at $97,800 and $3,000, respectively. A decisive move above these levels could potentially restore investor confidence and trigger further price increases.