Experts explain the reason for the growth of the crypto market

The cryptocurrency market started the week with growth along with stock indices, as investors increased their appetite for risk ahead of the publication of key inflation data. Thus, Bitcoin BTC $122,218.00 Mezo Wrapped BTC 0.16% Market capitalization $42.48 million VOL. 24 hours $2.33 billion rose by 0.57% to $ 111,500, while Ethereum ETH $4,680.06 Bridged Ether (StarkGate) 2.61% Market capitalization $0.11 billion VOL. 24 hours $2.2 billion remained almost unchanged at $ 4,288. XRP XRP $2.98 XRP -0.60% Market capitalization $178.15 billion VOL. 24 hours $0.38 billion rose by 2.82% to $ 2.95, Solana SOL $230.69 Binance-Peg SOL -0.91% Market capitalization $0.25 billion VOL. 24 hours $0.74 billion - by 3.55% to $ 213.45, and Dogecoin DOGE $0.26 Binance-Peg Dogecoin 0.92% Market capitalization $0.67 billion VOL. 24 hours $0.44 billion added 4.68% to reach $ 0.2381.

During the day, Bitcoin reached $ 112,869, but then rolled back to $ 111,000. The trading volume increased by 58% and reached $ 40 billion. According to SEC documents, Strategy Inc. purchased $ 217.4 million worth of BTC last week as part of its marketplace programs. Ethereum showed similar dynamics: after hitting a high of $ 4,381, it dropped, while trading volume increased by 76%.

Bitcoin’s dominance dropped to 57.5%, while Ethereum’s share remained just above 13%. Over the day, the market liquidated $ 330 million worth of positions, with $ 209 million going to shorts. Open interest in Bitcoin increased by 2.48%. Among Binance 's top traders, more than 60% hold long positions in BTC. The Fear and Greed Index recorded «neutral» sentiment.

Among the top altcoins of the day were MYX Finance (277.24%, $ 13.74), OpenLedger (180.56%, $ 1.41), and Worldcoin (68.07%, $ 1.79). The total capitalization of the crypto market is $ 3.87 trillion, which is 1.09% more than the previous day.

Analyst Michael van de Poppe drew attention to Bitcoin’s struggle to reach the $ 112,000 level, noting its criticality before the CPI release. Investor Ted Pillows compared Ethereum’s correction to a 25−30% drop in Bitcoin in 2020. In his opinion, a similar decline in ETH to $ 3,500-$ 3,700 could be the starting point for a quick reversal and a parabolic rally in the fourth quarter.