After a short-term drop, bitcoin reached the price mark of $59 thousand
Kyiv • UNN
Bitcoin rose to $59,305 after a short-term drop. Investors invested $155 million in ether-related products, while only $13 million came into bitcoin. The market is awaiting US inflation data.
On Tuesday, bitcoin showed growth, stimulated by active buying after a strong weekend collapse, although the overall market sentiment remained restrained due to the upcoming release of important economic indicators in the United States this week. UNN writes about this with reference to Investing.
Details
Data on capital flows indicate that traders have been actively investing in cryptocurrency products over the past week, with the bulk of the investment coming from ether.
Sentiment on the crypto market was partially weakened by a discussion on the topic of the X network between Republican presidential candidate Donald Trump and Tesla CEO Elon Musk, in which cryptocurrency regulation was not discussed at all. This caused disappointment among some market participants who were hoping that Trump would express support for cryptocurrencies.
After the discussion, bitcoin briefly fell to $58,000. However, it has now risen by 1.2%, reaching $59,305.3.
While institutional interest in bitcoin remains moderate, investment in the ether continues to recover.
Data from digital asset manager Coinshares showed on Monday that cryptocurrency investment products, mainly those related to ether, experienced significant inflows over the past week as sharp price drops drew buyers' attention to bargain shopping.
More than $155 million has been invested in ether-related products, with buying also picking up following the strong launch of ether-traded spot funds in US markets last month.
Only about $13 million has been transferred to bitcoin.
The cryptocurrency markets were still recovering from last week's significant losses, when bitcoin fell to $49,000, and is now hovering between $50,000 and $60,000, a range that has been seen for most of this year.
Cryptocurrency price today: Altcoins are rising, inflation data is expected
On Tuesday, the prices of broader cryptocurrencies rose, following a slight increase in bitcoin, although, like the token, most altcoins also remained within the range.
Ether, the world's No. 2 token, rose 3.8% to $2,651.26.
SOL, XRP, and ADA grew from 0.2% to 1.6%.
Among the meme tokens, DOGE went up by 2.9%.
Markets were largely cautious ahead of key US CPI inflation data due on Wednesday, which should provide more clues about the Federal Reserve's plans to cut interest rates.
Recall
Last week, the price of bitcoin rose, continuing a positive trend after a drop. Although sentiment has improved somewhat, there are still signs that the cryptocurrency's recovery is losing steam.