Bitcoin experienced a 1.3% increase in the past 24 hours, as traditional markets stabilized and crypto markets calmed down following Monday’s sharp rally. The largest cryptocurrency by market capitalization traded at around $27,700 during U.S. afternoon hours, having briefly risen above $28,000 earlier this week. Analysts at crypto services provider Matrixport observed that Bitcoin broke out from its downtrend that began in the summer, turning the $27,000 level into support with the potential to reach $30,000.
However, the initial surge on Monday lacked significant follow-through, as Bitcoin trading volume dropped from $19 billion to $11 billion. Enigma Securities predicted that low volatility in crypto markets will prevail for the next few months. They expect markets to consolidate and chop sideways in October, extending the window for accumulation for long-term investors. Meanwhile, the broader crypto market-proxy Market Index inched 0.8% higher.
Traditional markets show signs of stabilization
Traditional markets also calmed down after a turbulent Tuesday session, as fresh jobs data pointed to a cooling U.S. labor market. The S&P 500 index closed the day 0.8% higher, while the tech-heavy NASDAQ 100 index posted a 1.45% gain.
Ether underperforms and slides
Ether underperformed and slid 0.7% as market participants digested the disappointing first days of the first futures-based exchange-traded funds in the U.S. K33 Research advised investors to rotate into Bitcoin, citing the lack of medium-term catalysts for ETH.
Solana’s native token and Layer 1 blockchain Avalanche
Solana’s native token SOL also pared its gains from earlier this week, slumping 2.3% in the past 24 hours. In contrast, Layer 1 blockchain Avalanche’s AVAX emerged as a top performer among major cryptocurrencies, surging 7%.
XRP rallies as Ripple’s Asian arm obtains a license in Singapore
XRP also rallied over 3% earlier in the day as Ripple’s Asian arm obtained a license in Singapore and a favorable court ruling. The license and court decision are expected to boost XRP’s market presence and adoption in the region.
Conclusion
In summary, Bitcoin’s 1.3% increase in the past 24 hours reflects a stabilization in traditional markets and a calming of crypto markets after Monday’s sharp rally. The largest cryptocurrency by market capitalization traded at around $27,700 during U.S. afternoon hours, having briefly risen above $28,000 earlier this week. Analysts at Matrixport observed that Bitcoin broke out from its downtrend that began in the summer, turning the $27,000 level into support with the potential to reach $30,000. However, the initial surge on Monday lacked significant follow-through, as Bitcoin trading volume dropped from $19 billion to $11 billion.
Traditional markets also calmed down after a turbulent Tuesday session, as fresh jobs data pointed to a cooling U.S. labor market. The S&P 500 index closed the day 0.8% higher, while the tech-heavy NASDAQ 100 index posted a 1.45% gain. Ether underperformed and slid 0.7%, while Solana’s native token SOL slumped 2.3%. Layer 1 blockchain Avalanche’s AVAX surged 7%, and XRP rallied over 3% following Ripple’s Asian arm obtaining a license in Singapore and a favorable court ruling.
With low volatility expected to prevail in crypto markets for the next few months, long-term investors may find this an opportune time to accumulate Bitcoin and other cryptocurrencies. As the market continues to evolve and mature, the potential for growth and adoption remains strong.
