Crypto FOMO takes a break while Bitcoin Cash and Toncoin are still rising
Last Updated on 7 April 2024 by CryptoTips.eu
It seemed like the past week was one of consolidation in the crypto market. Although it looks like Bitcoin will end the week with a small red candle, you of course shouldn’t lose sight of the fact that the largest digital coin is still trading at one of the highest points in recent years with a price of $69,000 at the time of writing.
Yet there were still winners in the list of the largest altcoins. Bitcoin Cash and Toncoin both had a volatile yet positive week.
Jobs report
The latest jobs report from the United States showed on Friday that the largest economy in the world is still growing at a fast pace (in recent months these job figures have been adjusted downwards each time and that will probably happen this time too).
This also further reduces the likelihood that the Federal Reserve will make multiple interest rate cuts this year. In other words, interest rates will normally remain high for longer, causing investors to reposition their portfolios and lessen their risk.
Bad news for tech stocks and crypto, you might think. Yet the Bitcoin price is not falling, and this is almost entirely due to the inflow of money into the Bitcoin ETF funds that are traded on the exchanges.
Altcoins
The altcoin market saw a bigger drop this week, and memecoins in particular were struggling. Dogecoin at a certain point saw a drop of more than 20% on a weekly basis, and Dogwifhat, Pepe, Shiba Inu, Floki and Book of Meme are also struggling.
However, there were also winners in the larger altcoin category. Within the CoinMarketCap top 20, the increases in Toncoin (due to the impending IPO of Telegram) and Bitcoin Cash (due to the second halving of that coin) were particularly notable.
FOMO seems to be on pause for now and further developments in the short term probably depend on how the stock markets will react to that jobs report from the United States next week.
