Bitcoin price falls below $20,000; Ether traded down over the weekend
Bitcoin and Ether fell today, along with all other cryptocurrencies in the top 10 by market capitalization. The slump continues a slide over the weekend after U.S. Federal Reserve Chairman Jerome Powell rocked crypto and equity markets on Friday with comments about economic pain ahead as the Fed raises interest rates to tackle inflation. At the time of writing, the Bitcoin price is changing hands at $19,767.
BTC/USD 4-hour chart | Source: TradingView
Bitcoin price falls below $20,000
After clinging tenaciously to support above $20,000 for much of the weekend, bitcoin fell well below this threshold late Sunday. The largest cryptocurrency by market capitalization was recently trading at $19,600, down more than 2% over the previous 24 hours.
Ether, the second largest crypto in market value was recently changing hands at roughly $1,430, down more than 4% as investors continued to chew over U.S. central bank Chair Jerome Powell’s vow to continue the monetary hawkishness the Fed adopted earlier this year. That news disappointed some investors hoping for signs of Fed confidence that its steps over the last few months were taming inflation and that it might back away from its recent diet of 75-basis point interest rate hikes.
Most other major cryptos were recently in the red with AVAX and ATOM down more than 9% and 6%, respectively. XMR rose about a percentage point. Cardano saw the biggest loss, trading down 4.3% to $0.43. BNB was little changed, dipping 0.5% to $276.
The declines come as financial analysts and commentators predicted a rough Monday on the stock market. Trading platform provider IG Group reported distinct “jitters in the U.S. futures market” on Twitter, advising investors to “get your tin hats on.”
Get your tin hats on.
— IGSquawk (@IGSquawk) August 28, 2022
Many attributed the slide to fears of aggressive U.S. Federal Reserve rate hikes promised by Powell last week. The market closed down across the board on Friday, CNBC reported, with the Dow Jones Industrial Average falling over 1,000 points. At least some of that downward pressure appears to have carried through the weekend.
The overall cryptocurrency market cap stands at $947 trillion, and Bitcoin’s dominance rate is 39.9%.
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