Bitcoin blockchain completes 900 million transactions, market moves in a narrow range

Crypto market overview: In the last 24 hours, BTC has traded flat as it tries to find support near the $26,000 mark and trading in a very narrow range of less than 2 per cent. 

The Crypto Fear and Greed Index also fell by 2 points towards the fear side of the meter, suggesting potential volatility ahead in the market.

Crypto Fear and Greed Index | Image credit: Alternative.me

While talking to Republic about the crypto market movement, Shubham Hudda, Senior Manager, CoinSwitch Markets Desk said, “While its reward-halving event is getting closer, the Bitcoin blockchain has achieved a new milestone as the total number of transactions on the blockchain has surpassed 900 million transactions. It is important to note that Bitcoin volumes on centralised exchanges have hit its 5-year low. The last time we saw this was in Sep 2018 when Bitcoin was nearing the close of its bear cycle.”

CoinDCX Research Team also shared their view on the crypto market with Republic. CoinDCX said, “Unless Bitcoin manages to surpass the end-of-August high at $28,000, the most likely direction for its price remains sideways to down as per the technicals. Looking at the broader picture, any drop below $25,000 could have significant implications.” 

CoinDCX also signalled towards potential volatility in the coming days. “This Friday, a substantial number of BTC and ETH options contracts are set to expire on Deribit, with 117,000 BTC options and 1.1 million ETH options reaching their expiration. This event has the potential to increase volatility in the prices of these cryptocurrencies,” CoinDCX said.

Bitcoin trading volume reaches 6-year low

Sudeep Saxena, Co-Founder, Coin Gabbar, also underlined the decreasing Bitcoin trading volume on the crypto exchange. Saxena said, “Investors are concerned that this surge in demand for the US dollar might pose challenges for Bitcoin and cryptocurrencies, although these concerns are not necessarily interconnected. Amidst a climate of macroeconomic uncertainty, Bitcoin (BTC) exchanges have seen a significant decrease in trading volume. Bitcoin spot trading volume plunges to 6-year low.”

Edul Patel, CEO and Co-Founder, Mudrex, cited US Treasury yield as the reason behind Bitcoin’s recent consolidation. Patel said, “Bitcoin's price has recently consolidated above the $26,100 level, possibly due to the US. 10-year Treasury yield surging to 4.55 per cent, matching its highest point in approximately 16 years. This sharp rise in interest rates has had a similar impact on the equity markets.”

Shivam Thakral, CEO of BuyUcoin, stated that crypto traders might be awaiting for Jerome Powell’s upcoming speech this Thursday. Thakral said, “The crypto market remained flat during the last 24 hours as traders await the Fed chief’s speech on Thursday which will give us a clear picture of future rate hikes. The interest rates are already at a higher level as a result of contentious rate hikes to cool down inflation and any further rate hike will make borrowing a costly affair.”

In another development yesterday, the world’s second-biggest stablecoin issuer—Circle, has launched its EURC stablecoin. The stablecoin is backed by Euro on the Stellar blockchain, making it the third blockchain after Ethereum and Avalanche to natively issue the coin.

Prices listed were last checked at 11:00 am today according to Coinmarketcap.com

Crypto market in last 24 hours

In the last 24 hours, Bitcoin's price remained stable and traded within a range above the $26,000 support zone. On the other hand, Ethereum made slight gains but couldn't cross the $1,600 threshold. 

Rajagopal Menon, VP, WazirX credited the market movement to Microstrategy’s latest disclosure on Bitcoin accumulation. Menon said, “Microstrategy’s latest Bitcoin purchase has infused some positive sentiment in the market, taking it above $26,000. Ethereum however continues to trade below the key level. The Fed has also hinted at possibly higher interest rates to bring down inflation, which is creating a strain on the overall ecosystem.” 

Other cryptocurrencies including BNB, XRP, Dogecoin, and Cardano traded in a close range. However, Solana and Toncoin registered some steep decline, falling by over 2.34 per cent and 3.63 per cent respectively.