Market Pressure and Tech Sector Weigh Down Cryptocurrency Market
The cryptocurrency market experienced slight improvement on Thursday, although gains were minimal due to market pressures. The DXY briefly touched 105.156, its highest level since the collapse of several banks in March, which put pressure on financial markets, particularly risk assets.
Stocks traded mixed, with the tech sector weighed down by Apple (APPL). The company’s shares continued to fall after reports circulated that China has forbidden government officials from using its iPhone and plans to extend the ban to state companies. At the closing bell, the S&P and Nasdaq finished in the red, down 0.32% and 0.89%, respectively, while the Dow gained 0.17%.
Bitcoin Price Remains Stagnant Below $26,000
Bitcoin (BTC) remains pinned below $26,000, indicating an evenly matched battle between bulls and bears. The narrow trading range suggests that BTC price is unlikely to see a significant move without a notable catalyst. September Bitcoin futures prices were slightly down in early U.S. trading, according to Kitco senior technical analyst Jim Wyckoff.
Wyckoff mentioned that bears have the near-term technical advantage, as a price downtrend line is in place on the daily chart. He expects more sideways-to-lower price action in the near term. Mike McGlone, senior macro strategist at Bloomberg Intelligence, raised concerns about Bitcoin’s performance, stating that the benchmark crypto’s weakness could be a precursor for a normal stock market drawdown or falling behind.
Altcoin Market Shows Mixed Performance
The altcoin market displayed mixed performance, with a slight majority of tokens in the top 200 recording gains. Venus (VXS) emerged as the standout performer with a 54.8% increase, followed by Core (CORE) with a 9% gain and Flux (FLUX) with an 8.42% increase. On the other hand, Worldcoin (WLD) experienced the biggest loss with a decline of 8.5%.
The overall cryptocurrency market cap currently stands at $1.04 trillion, with Bitcoin’s dominance rate at 48.3%.