Bitcoin (BTC) closed 1.6% lower on Monday, though a bullish move this morning has brought the benchmark cryptocurrency higher against the US dollar.
At the time of writing, the BTC/USDT pair was swapping for $36,700 as the market mulls the results of this afternoon’s US inflation print.
Consensus has core inflation staying put at 4.1%, with headline inflation falling from 3.7% to 3.3%.
hitting or improving on these forecasts could benefit bitcoin in the short term at the expense of a dip in the US dollar as traders swap out fixed-term assets for riskier bets.
“We see some downside risks to the dollar given a potential downside surprise in consumer price inflation and DXY (the US Dollar Index) could slip to the 105.20-.40 area,” said analysts at ING in a morning research note.
Bitcoin is now up by a third over six months – Source: tradingview.com
After a prolonged dry season, bitcoin trading volumes appear to be staging a recovery, with the daily cumulative volume on centralised exchanges, calculated on a seven-day moving average, reaching $31.4 billion, according to Matteo Greco, research analyst at Fineqia International.
“This figure, the highest since the end of March, reaffirms that the recent uptrend is driven by robust trading activity,” said Greco.
Ethereum (ETH) closed Monday on the front foot after a volatile session that saw ETH/USDT climb as high as $2,118 before closing at $2,053. The ETH/USDT pair has since added half a percentage point to $2,062 this morning.
In the broader altcoin space, Solana (SOL) surged another 7% this morning, bringing week-on-week gains above 33% and making it the top performer among the blue chips.
Polygon (MATIC) has also pulled forward by adding over 30% across the past seven days, while Cardano (ADA) and Dogecoin (DOGE) have added single digits.
Binance’s BNB coin, on the other hand, has slipped into the red alongside Ripple (XRP).
Global cryptocurrency market capitalisation currently stands at $1.4 trillion, with bitcoin dominance just above 52%.
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