- This week, Bitcoin appears to have put the rough days behind it, showing a consistent recovery.
- The positive turnaround was partly driven by favorable US inflation data and bullish comments from Federal Reserve Chair Jerome Powell.
- Analysts suggest the steep declines may be over, with expectations of a flatter market until September and potential gains thereafter.
Bitcoin rebounds amidst optimistic US inflation data and FED remarks, promising a steadier market outlook. Key details on crypto performance and future trends.
Stability Returns to Bitcoin with Economic Data Uplift
Throughout this week, Bitcoin has shown a consistent rebound, bolstered by optimistic US inflation figures. The Federal Reserve Chair, Jerome Powell’s positive remarks also played a pivotal role. As a result, there is rising speculation that the Federal Reserve might opt for its first rate cut in September. This set the stage for bullish sentiment and market recovery.
Analysts See a Shifting Market Sentiment
Financial analysts predict that the most severe declines are likely behind us. They anticipate a relatively flat market up until September, pointing to potential gains post-September. This is noteworthy, considering that the Greed Index, which recently approached a fear level of 25 (extreme fear) following a peak close to 80 (greed), is suggesting an adjustment in market sentiment.
Weekly Performance of Major Cryptocurrencies
As Bitcoin’s price revived, it saw a 4.6% weekly increase. Ethereum (ETH), the largest altcoin, exhibited a more robust performance, seeing a 6.4% rise. The recovery in Bitcoin and Ethereum positively influenced the broader altcoin market, though results were mixed; some altcoins saw gains while others continued their downward trend.
Top Gainers and Losers in the Crypto Market
According to CoinMarketCap data, among the top 100 coins, the week’s biggest gainers were Mog Coin (MOG), Maker (MKR), AAVE, XRP, and VeChain (VET). Conversely, the top three losers were Render (RNDR), Akash Network (AKT), and Ethena (ENA), showing the varied market responses during the past week.
Conclusion
This week has marked a period of recovery and stabilization in the cryptocurrency market, driven by encouraging economic indicators and regulatory remarks. While analysts advise cautious optimism, they highlight the potential for further market improvement post-September. Investors should stay informed and consider current market sentiment carefully before making decisions.
