© Reuters. Bitcoin Rises, Ethereum, Dogecoin Fall: On-Chain Metric Flags Bullish Sign For This Crypto
intraday returns topped those of altcoins, with the global cryptocurrency market cap rising 0.9% to $1.3 trillion at press time.
|Bitcoin (CRYPTO: BTC)||1.4%||-3%||$29,609.99|
See also: How to get free crypto
Why it matters: Risky assets still remain unattractive to investors. On Tuesday, the S&P 500 and Nasdaq posted losses of 0.8% and 2.35%, respectively.
The slowdown in economic growth is now visible in the earnings figures of listed companies like Snap inc. (NYSE:NYSE:), particularly those operating in the technology sector.
Tuesday marked a return to risk aversion in all asset classes except gold, noted Edward Moya, senior market analyst at OANDA.
“Everything is weakening at a faster pace than expected and that doesn’t bode well for the US consumer and for the short-term outlook for equities,” Moya said, in a note seen by Benzinga.
Moya is bearish on cryptocurrencies in the short term. “Bitcoin is in the danger zone as sentiment for risky assets has fallen off a cliff. Normally, falling Treasury yields make crypto attractive, but right now no one wants to buy this dip,” a- he declared.
Yields on the benchmark 10-year note fell to 2.738%, the lowest since April 27, according to a Reuters report.
The analyst said that the apex coin may test the $25,424 level as the stock market capitulation may not have happened yet, with the $20,000 level acting as a support zone.
Losses on the equity side were steeper, cryptocurrency trader Michaël van de Poppe reminded his Twitter followers (NYSE:). He pointed out that Amazon.com, Inc (:NASDAQ:) alone lost $900 billion in value over the past 6 months. The total market capitalization of Bitcoin, on the other hand, is $550 billion.
Remember that $AMZN has lost $900 billion in value over the past 6 months.
The total market capitalization of #Bitcoin is only $550 billion. pic.twitter.com/OXTBfdd8N1
— Michael van de Poppe (@CryptoMichNL) May 24, 2022
The chasm between Bitcoin’s price movement and altcoins has widened as investors lose their appetite for risk amid eroding positive sentiment.
This can be seen in the large discrepancy between the 7-day price movements of Bitcoin and Ethereum. While BTC is down 3%, Ethereum’s drop over the week was almost double.
During the quarter, Bitcoin dominance jumped to 44.51% from 42.61%, according to data from CoinMarketCap.
Top Cryptocurrencies as a Percentage of Total Market Cap – Courtesy of CoinMarketCap
The Bitcoin holder’s conviction remains intact, as seen in the Last Active Supply 10+ chart published by Glassnode. This metric hit an all-time high of 2,443,600.434 BTC on Tuesday.
Total Bitcoin supply Last activity > 10 years – Courtesy of Glassnode
Meanwhile, average Ethereum fees have dropped to just $2.54 per transaction, Santiment tweeted. The market news platform pointed out that historically ETH prices rose after average transaction fees fell below the $5 mark, but warned that this was by no means. automatique.
Average #Ethereum fees are extremely low, currently costing traders only $2.54 per transaction. This is the lowest $ETH price level since July. Historically (but by no means automatically), $ETH prices rise after average transactions drop below $5. https://t.co/JS3paxdfwz pic.twitter.com/hsc9BoGwPx
— Santiment (@santimentfeed) May 24, 2022
Read more: This Counterfeit Bitcoin Is Up 24% With Massive Volumes, Even Amid Major Crypto Slide
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