Crypto market sentiment remains bearish, Bitcoin and ETH face high volatility

Crypto market overview: The crypto market traded sideways with a downward bias over the weekend with all leading cryptocurrencies taking a hit. As per the market data, the global crypto market capitalisation is currently hovering around $1.08 trillion. Alternatively jumping between the neutral and the fear zone over the weekend. 

The fear and greed index is back in the neutral zone with a score of 47/100. The overall trend in the crypto market continues to be down, with bearish sentiments, particularly after the remarks from the Feds.

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

While talking about the crypto market movement over the weekend, Parth Chaturvedi, Investments Lead, CoinSwitch Ventures said, “BTC entered Monday below $26,300. The $26,000 support is crucial, as failure to maintain it with lead to additional selling pressure on BTC. The market is expecting BTC volatility to see an uptick as Bitcoin options worth $3 billion expire on September 29.”

Rajagopal Menon, VP, WazirX, also highlighted the Fed’s hawkish stance as a crypto market driver. Menon said, “Bitcoin declined below $26,300, with Ether falling below $1,600. The crypto market's retreat follows the US Federal Reserve's hawkish stance, hinting at future interest rate hikes by year-end.

The overall trend remains bearish as Bitcoin failed to surpass its 50-day moving average of $26,876. Further downward movement may occur if Bitcoin drops below $26,000, despite historical October bullishness. Caution is advised without a break above the 50-day MA.” 

Sudeep Saxena, Co-Founder, CoinGabbar said. “Cryptocurrency has faced selling pressure in response to the Federal Reserve's rate decision. Both Bitcoin and Ethereum witnessed fluctuations, with Bitcoin dropping below $26,000 and Ethereum falling below $1,600. Investors exercise caution due to potential interest rate hikes, resulting in a market defined by lateral movement, slight price shifts, and ongoing uncertainty.”

Edul Patel, CEO and Co-founder, Mudrex underlined Bitcoin’s crucial support at $25,400. Patel said, “Bitcoin's current trading price surpasses the $26,000 threshold. The bulls have been working actively to counter the bearish sentiments in the market. Bitcoin is currently encountering resistance around $27,500. However, if the price declines from the current position, it may result in Bitcoin revisiting the $25,400 support zone. Meanwhile, Ethereum has been trading within the $1,550 to $1,600 range.”

In other news, Google Cloud has forayed deeper into blockchain technology, as it adds 11 networks including Polygon, Optimism, and Polkadot to its ‘BigQuery’ program for public datasets.

Prices listed were last checked at 11:30 am today according to Coinmarketcap.com

Crypto market in last 24 hours

All leading cryptocurrencies including Bitcoin and Ethereum traded in red in the last 24 hours with Bitcoin losing 1.63 per cent and Ethereum losing close to 1 per cent. This price drop in Bitcoin came after it tried to recover from last month’s sudden decline. Bitcoin has also lost more than 1.7 per cent, witnessing a high trading volume over the last 24 hours. 

Other cryptocurrencies including BNB, XRP, Solana, Dogecoin, Cardano, Toncoin, Polkadot, Polygon, and Litecoin also witnessed a noticeable decline in their prices with Toncoin losing more than 3.78 per cent.

In a recent update, Hong Kong’s Securities and Futures Commission (SFC) will list down ‘suspicious’ crypto platforms for the public to identify potentially unregulated virtual asset trading platforms.