The cryptocurrency markets have cooled off a bit following an early-week rally as investors kicked into risk-on gears following a soft US inflation reading.
Bitcoin (BTC) reached intraday highs of US$18,400 yesterday before cutting back to US$17,800 by the session’s close.
Another half a percent has been shaved from the BTC/USD pair this morning, bringing BTC down to US$17,700.
Bitcoin should find a support base at US$17,600, where buyers seem willing to jump in.
Can bitcoin (BTC) reclaim US$18,000, or is it heading lower? – Source: currency.com
As for Ethereum (ETH), the second-largest cryptocurrency ended up 1% weaker at US$1,300 by yesterday’s close, and has since fallen another 1.5%.
The ETH/USD pair could end up at the US$1,250 support line if the bearish correction persists.
The correction has been felt harder by Binance’s BNB token, which fell nearly 4% overnight, as did Dogecoin (DOGE) and Litecoin (LTC).
Fantom (FTM), which was one of the best performers in recent days, hit a sharp 6% reversal in the past 24 hours.
On a positive note, embattled blockchain network Solana (SOL) continues to show short-term resilience having added 1.5% overnight to bring its market capitalisation close to US$5.2bn.
Tron (TRX) is also outperforming with 1% added so far today.
Global market capitalisation across all cryptocurrencies is US$861bn, while total value locked across all decentralised finance (DeFi) protocols recently dipped below US$42bn