“Trade wars. As trade tensions between the United States and China continue to escalate, the cryptocurrency market remains cautious. However, Bitcoin is still holding steady around $111,000 , while the entire crypto market remains flat, with a total value of just under $3.9 trillion. Although the Sino-American trade war has revived risk aversion, analysts […]”, — write: businessua.com.ua
Trade wars. Because trade tensions between the United States and China continue to escalate the cryptocurrency market remains cautious. However bitcoin still holding steady at the close mark 111,000 dollars while the entire crypto market remains flat, with a total value of just under $3.9 trillion. Although the Sino-American trade war revived reluctance to take risks analysts note that this is a decline more like digestion than to panic .
Key points of this article:
- Trade tensions between the US and China have fueled caution in the cryptocurrency market, despite hopes of a Fed rate cut.
- Bitcoin has managed to hold steady at around $111,000 despite stagnant valuations across the crypto market.
Bitcoin and the crypto market are resting from the storm Now bitcoin hovers close to 111,000 dollars zones which traders defend since August According to financial analysts at broker FxPro on X, “ the bears seem to have had their fill “, although market participants are waiting for clearer catalyst for risk recovery.
This catalyst can take shape further reduction of the key rates of the Fed (Federal Reserve System of the USA) after her head Jerome Powell quite clearly hinted that at the next meeting of the heads of central banks of the United States may be announced about further decline of these interest rates after meetings on September 17 .
“(…) The total valuation of cryptocurrencies rose slightly in the last day, increasing by 0.1% to $3.83 trillion. Monday’s rally was interrupted by another wave of selling, albeit less intense. The bears seem to have had their fill and are already losing some of their strength. However, potential buyers prefer to wait for a reason to buy, and trade disputes do not yet provide such a reason.”
FxPro
Account X @FxProGlobal
Inflow of Institutional Funds and ETFs: Structural demand for BTC and ETH remains strong Thus, the Bitcoin and cryptocurrency market is in a mode expectation currently stuck between potentially good news from the Fed and potentially bad news from the trade war between China and the US.
Despite this uncertainty, institutional investors, seems to be striving keep accumulating crypto assets. Indeed, theirs long term vision appears to be independent of the volatility that characterizes the nascent digital asset market.
“Despite the historical liquidation of leveraged positions, the structural demand for Bitcoin and Ethereum remains unchanged. (…) ETF inflows and stablecoin supply growth continue to strengthen the liquidity base. What matters now is how quickly this translates into a new appetite for risk.”
Nassar Achkar, CoinW’s chief strategy officer, was quoted by CoinDesk
Investors and traders will have to keep an eye on statements from President Donald Trump and Jerome Powell while waiting to break out of this hiatus/stagnation in the cryptocurrency market. Although new Fed interest rate cuts could give bitcoin a boost concerns over tariffs with China, meanwhile, will continue to weigh on the market.
Source: journalducoin.com
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