Bitcoin Crosses $42K Level, Ethereum Above $3K As Dogecoin And Meme Coins Shine Too — Why The Pressure On Crypto Market Is Still On

Bitcoin and other major coins traded higher Sunday evening as the global cryptocurrency market cap rose 1.6% to $2 trillion.

Price Performance Of Major Coins
Coin 24-hour 7-day Price
Bitcoin BTC/USD 1.5% 11% $42,168.70
Ethereum ETH/USD 0.2% 16.3% $3,035.26
Dogecoin DOGE/USD 3.3% 9% $0.15
Top 24-Hour Gainers (Data via CoinGecko)
Cryptocurrency 24-Hour % Change (+/-) Price
Shiba Inu (SHIB) +22.1% $0.00003
Axis Infinity (AXS) +16.2% $68.21
Loopring (LRC) +15.3% $1.11

See Also: How To Buy Bitcoin (BTC)

Why It Matters: The dollar fell 1.8% last week, which is one of its largest percentage declines since November 2020, according to a Reuters report

In a recent video, cryptocurrency trader Justin Bennett talked about the inverse relationship between the dollar index and Bitcoin.

“Every single time Bitcoin is topped out at the end of each bull cycle the dollar has bottomed,” said Bennett. 

On Friday, Bennett tweeted that if the Dollar Index — a measure of the greenback’s strength against a basket of six currencies —  closes the week below last week’s open at 95.63 “we have a weekly bearish engulfing.

The dollar index rose 0.1% to 95.446 on Friday, as per Reuters.

The reason for the dollar index’s appreciation on Friday was the U.S. nonfarm payroll report which indicated that 467,000 jobs were added last month, according to Reuters.

Edward Moya, OANDA’s senior market analyst said that the nonfarm payroll report was a “shocker” which sent Treasury yields higher as expectations of a more aggressive monetary tightening rose.

“Bitcoin may have difficulty breaking above the $40,000 level if Wall Street grows confident that the Fed will raise rates by a half point in March,” wrote Moya on Friday.

Notably, even though the apex coin traded above the $40,000 mark on an intraday basis on Sunday, volumes remained thin throughout the weekend.

Pseudynomyous cryptocurrency analyst Altcoin Sherpa tweeted that it is likely that BTC will see a lower high in the mid $40,000 range.

Meanwhile, Ethereum saw the $3,000 mark again after two weeks of trading under that level. The amount of unique Ethereum addresses transacting also touched a two-month high, said Santiment, a financial market data and content platform, on Twitter.

Read Next: EXCLUSIVE: Popular Contrarian Investor CryptoWhale On Why He Turned Bearish On Bitcoin, How Dogecoin Community Is 'Fun,' Rise Of Altcoins And 2022 Prediction

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Posted In: CryptocurrencyNewsMarketsMoversTrading IdeasBitcoindogecoinEthereum
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