Major cryptocurrencies traded in the green late on Tuesday after the release of the February Consumer Price Index, which showed a decline in inflation to 6% from the previous month’s reading of 6.4%.
|Cryptocurrency||Gains (+/-)||Price (Recorded 9:30 pm EST)|
What Happened: Apex cryptocurrency Bitcoin BTC/USD rose above $26,000 for the first time in nine months before dipping to $25,000. It showed a double-digit increase for two days in a row, reaching a peak of $26,100 before paring some gains.
Ethereum ETH/USD was up 2.31% at over $1,700. Dogecoin DOGE/USD was trading at $0.075, up 3.92% in the last 24 hours.
At the time of writing, the global cryptocurrency market capitalization stood at $1.10 trillion, an increase of 2.50% over the last day.
U.S. stocks rose on Tuesday as investors believed that the potential risk of contagion from the closure of Silicon Valley Bank SIVB and Signature Bank SBNY had been contained. The S&P 500 rose 1.65%, while the Nasdaq Composite gained 2.14%.
See More: Best Crypto Day Trading Strategies
News Highlights: The final dress rehearsal for the highly anticipated Ethereum upgrade, “Shapella,” took place on Tuesday on the Goerli test network (testnet). The successful test simulated staked ether withdrawals, bringing the Shanghai upgrade one step closer to its live activation on the mainnet blockchain sometime next month. With the final dress rehearsal now completed, Ethereum is well poised to roll out its upgraded network to the public.
On the Bankless podcast, Coinbase Global COIN CEO Brian Armstrong discussed his ambition for the company to create a more sustainable and predictable revenue model for navigating crypto cycles.
Analyst Notes: “Bitcoin is near the $26,000 level despite losing a couple [of] important crypto banks and as stablecoin USD nearly recovers its $1 peg,” said Edward Moya, senior market analyst at OANDA.
Moya added, “The king dollar trade appears like it isn’t coming back and that should be good news for cryptos. Bitcoin might be able to make a run to the $30,000 level if Wall Street is right that the Fed’s work is almost done.”
Michael van de Poppe, founder and CEO of Eight Trading, advised against shorting Bitcoin until clear confirmation of a correction is received. However, he believes a sharp ascent to $28,000 is possible without any consolidation. Should the price break beneath $24,800 to 24,900, he’ll be considering buying at $23,300.
Veteran trader Peter Brandt took to Twitter and said that he is not surprised by the recent crypto market developments at the make-or-break $26,000 level, which was rejected.
Data analytics platform Santiment said If Bitcoin breaks through the local resistance level with significant strength, its value could rise even further. This could also alter investor sentiment about the ongoing bear market.
“Whales are making the highest level of $BTC $1M+ transactions in 4 months after breaking 9-month price highs,” Santiment tweeted.
Image and article originally from www.benzinga.com. Read the original article here.