In cryptocurrencies, Bitcoin price today plunged to below $38,000 level. The world’s largest and most popular cryptocurrency was trading a per cent lower at $37,972. The global crypto market’s value today slipped more than 1% in the past 24 hours to $1.81 trillion, according to pricing from CoinGecko.
Bitcoin has been struggling along with risk assets in recent months. It’s largely traded in a range of $35,000 to $45,000 this year as the Federal Reserve started hiking interest rates amid stubbornly high inflation. After hitting an all-time high of almost $69,000 in November, Bitcoin has been falling in value. The digital token is down about 18% since the beginning of the year (YTD).
On the other hand, Ether, the coin linked to the ethereum blockchain and the second largest cryptocurrency, also plunged more than 1% to $2,797. Meanwhile, dogecoin price today was trading about 0.5% lower at $0.13 whereas Shiba Inu was flat at $0.000021.
Other digital tokens’ performance were mixed as Solana, Polkadot, Cardano, Uniswap, Terra, XRP, Avalanche, Litecoin prices were trading with cuts whereas Polygon, Tron, Stellar slipped gained slightly over the last 24 hours.
“Bitcoin, Ethereum, and most cryptocurrencies dipped after the U.S Federal Bank is expected to raise interest rates by a half-point. BTC‘s current support holds at US$37,000 while the resistance remains at US$40,000. As the upward momentum weakens over the past few days, we may likely see BTC breaking down as it is currently trading close to the support level,” said Edul Patel, Co-Founder & CEO, Mudrex.
Crypto assets, just like other riskier areas of the market, have all been weighed down as the Federal Reserve and other global central banks raise interest rates to fight red-hot inflation.
(With inputs from agencies)