Bitcoin and Ethereum trade higher despite a 1% drop in global cryptocurrency market cap
Bitcoin and Ethereum traded higher Tuesday evening despite a 1% drop in the global cryptocurrency market capitalization to $1.3 trillion in the 24 hours to press time
Price performance of major tokens
Currency 24 hours 7 days Price
2.7% -23% $31,160.61
3.3% 6.6% $1,818.52
-23% -6.5% $0.08
Top winners over a 24-hour period (CoinMarketCap data)
Percentage change (+/-) price of cryptocurrencies over a 24-hour period
Chainring (Link) +9.95% $8.71
Arweave (AR) +6.6% $13.88
Downgrade (DCR) +3.8% $36.27
because it matters
While other risk assets such as stocks surged on Tuesday and quelled recession fears, price action in the two largest currencies remained largely range-bound.
The latest GDPNow report from the Atlanta Fed showed growth of just 0.9% in the second quarter.
In the first quarter of 2022, annual GDP growth will decline by 1.5%. A second straight quarter of negative growth could qualify for a recession.
Stock traders may be pricing in the possibility of a recession in the first quarter of 2024, said Edward Moya, senior market analyst at OANDA.
Cryptocurrencies may decouple from equities, although stocks may surge after inflation spikes.
“Bitcoin’s correlation with stocks could break down, which could lead to greater volatility in the near term. If Bitcoin dips below $28,000, things could get bad as prices may not find support until $25,500, “Moya wrote in a report seen by Benzinga.
Crypto trader Michaël van de Poppe tweeted that the odds of a June rally are increasing and that aliens are doing better by the day. He claims to record a 50-100% relief rally like the 50-100% that altcoins have experienced.
Easily, the odds of a relief rally this month are increasing as #BITCOIN resumes the entire movement. #ALTCOINS is also starting to look better in the daily time frame.
This could be a 50-100% relief bounce for them.
— MICHAËL VAN DE POPPE (@CRYPTOMICHNL) June 7, 2022
Will Clement commented on Twitter that Asian investors have been buying Bitcoin from U.S. and European counterparts.
Asia buys BTC from US/Europe after top dumping. A story as old as time. PIC.TWITTER.COM/DAGVTLIMN1
— Clement (@WCLEMENTEIII) June 7, 2022
On the other hand, the number of lost Ethereum addresses (7-day moving average) has reached an all-time high of 35.7 million, according to Glassnode.
Number of lost Ethereum addresses – courtesy of Glassnode
GlobalBlock analyst Marcus Sotiriou mentioned the sell-off by Bitcoin miners in May. “I think this selling pressure from miners may be due to the drop in bitcoin prices, which reduces miners’ profitability,” he said.
The analyst added that he is not concerned about the actions of the miners because Intel Corp. ITC 0.42%
A second-generation bitcoin mining chip will be launched, claiming to be more efficient than the competition.