September has been a very turbulent month so far for the virtual digital asset market as a whole. Bitcoin started trading on Wednesday, September 21 with a 1.25 percent loss in value. According to Gadgets 360’s crypto price tracker, BTC is currently trading at $19,005 (roughly Rs. 15 lakh). The oldest cryptocurrencies maintained the same prices even on international exchanges. Binance and Coinbase, for example, show losses of up to 2.14 percent for Bitcoin, which is worth around $19,011 (roughly Rs. 15.10 lakh).
Ether traded down 1.22 percent to $1,335 (roughly Rs. 1.06 lakh) on Wednesday, according to Gadgets360’s crypto price tracker.
The question that arises at this point is, why would the top two cryptocurrencies show losses despite Ethereum’s eco-friendly upgrade also going live?
“The Federal Open Market Committee (FOMC) oversees US open market operations and meets eight times a year to discuss and implement changes to US monetary policy. The FED will reconvene for the next FOMC meeting on September 21, 2022; “Markets are expecting 75bps-100bps to contain the most important national issue, rising inflation ahead of November’s mid-term elections that could determine the direction of future political leverage,” the research team at CoinDCX explained to Gadgets 360.
Many altcoins are behind BTC and ETH to see losses.
These include Binance Coin, Solana, Polygon, Tron and Avalanche.
“Prolonged quantitative tightening by the FED to control inflation has strengthened the DXY (US Dollar Index) as investors flock to safe haven assets like the dollar as there is evidence of an inverted yield curve; A key indicator of bearishness in general,” the CoinDCX team added.
Meanwhile, Tether, Binance USD, Ripple, Cardano, and Polkadot attributed the greens to the crypto price chart with small, but significant gains.
In the current market turmoil, the valuation of the crypto sector is below the trillion dollar mark.
After a 0.94 percent decline in the last 24 hours, the global crypto market cap currently stands at $926.28 billion (Rs. 73,94,255 crore approx). CoinMarketCap,
“On-chain analysis and other logarithmic models suggest that Bitcoin is currently oversold and we believe that despite the macroeconomic outlook looking negative, inflation is nearing a peak that will potentially lead to less stringent monetary policies in the future which will increase risk. And institutional adoption of crypto will lead to the next bull cycle,” noted the CoinDCX team.
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