The crypto market witnessed a halt in its price rally on Tuesday, after days of continuous growth in values of the digital currencies. Bitcoin recorded a drop of 2.25 percent on Tuesday, taking its price to $29,353 (roughly Rs. 24 lakh). On both national as well as international exchanges, Bitcoin has settled at its highest price in the last eight months. However, it is worth noting that over the last 24 hours, the value of BTC has dropped by $607 (roughly Rs. 49,784).
Ether followed Bitcoin towards the loss-making side of the crypto price chart on Tuesday. Incurring a loss of 0.68 percent, ETH is currently trading at $2,081 (roughly Rs. 1.7 lakh) as per Gadgets 360’s crypto price tracker.
“Over the last 24 hours, Bitcoin has been trading below the $30,000 level (roughly Rs. 24.6 lakh) due to the strengthening of the US dollar, leading to an increase in bearish activity. The bears are attempting to push towards the $29,200 (roughly Rs.23.9 lakh) support zone, while the immediate resistance levels are currently at $29,800 (roughly Rs. 24 lakh) and $30,000 (roughly Rs. 24.6 lakh). If these resistance levels are successfully broken, it might lead to another increase. Meanwhile, Ethereum has been able to maintain its position above the $2,000 level (roughly Rs. 1.6 lakh), but if it falls below this level, it could invite the bears back into the market,” Edul Patel, the CEO of Mudrex crypto investment told Gadgets 360.
The overall crypto market cap dropped by 1.30 percent in the last 24 hours. At the time of writing, the crypto market valuation stood at $1.25 trillion (roughly Rs. 1,02,83,799 crore), showed CoinMarketCap. “The SEC further tightened rules for crypto platforms by labeling them as securities and compelling them to abide by existing laws. The increase in Treasury Yield, anticipated rate hike by the Fed has impacted crypto prices,” Rajagopal Menon, Vice President, WazirX told Gadgets 360.
Industry insiders predict that some more upcoming developments around the crypto sector could trigger upheaval in the market. “In an effort to regulate stablecoins, the Bank of English and the Financial Conduct Authority are planning to consult on new rules which brings stablecoin under existing payment legislation. In parallel, the US’s SEC is approaching crypto regulations by considering them as securities. The SEC has categorized six cryptos as securities in its lawsuit against a crypto exchange — Bittrex. Of the tokens included in the lawsuit, Algorand is by far the largest market capitalisation. It is down by ~4.8 percent in the last 24 hours as of today morning,” Parth Chaturvedi, Crypto Ecosystem Lead, CoinSwitch told Gadgets 360.
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