Bitcoin and Ethereum traded sharply lower on Tuesday evening as the global cryptocurrency market capitalization plunged 7.5% to $986.4 billion as of 8:26 p.m. EDT.
| Piece of money | 24 hours | 7 days | Price |
|---|---|---|---|
| Bitcoin BTC/USD | -9.7% | 7.2% | $20,217.87 |
| Ethereum ETH/USD | -7.8% | 0.9% | $1,577.62 |
| Dogecoin DOGE/USD | -6.3% | 1.5% | $0.06 |
| Cryptocurrency | % change over 24 hours (+/-) | Price |
|---|---|---|
| Classic Earth (LUCN) | +21.8% | $0.00036 |
| TerraClassicUSD (USTC) | +6.3% | $0.04 |
| Earth (MOON) | +5.2% | $4.23 |
See also: How to get free NFTs
Why is this important: Major cryptocurrencies fell after the United States Department of Labor released inflation figures for August, which showed the consumer price index rose 8.3% year-on-year.
Although inflation has eased from July’s 8.5% rise, it is above economists’ average estimate of 8%.
Stocks fell on Tuesday, with the S&P 500 and Nasdaq losing 4.3% and 5.2% respectively. US stock futures were flat at the time of writing.
“Scorching inflation has triggered a stock market sell-off that is also dragging Bitcoin into the race,” said Edouard Moyaa senior market analyst with OANDAaccording to a note seen by Benzinga.
“Hopes for a soft landing, an end to the Fed bullish cycle and a resilient consumer are fading. Bitcoin’s fall has reminded traders that it remains the ultimate risky asset and that it is vulnerable if the stock market sell-off intensifies.”
Justin Bennettwho warned investors not to get “too cozy” yesterday, tweeted that “writing was on the chart” for cryptocurrencies and stocks.
The writing was on the card. $SPY $SPX $BTC $ETH #actions #Crypto https://t.co/X5vkR3St3X pic.twitter.com/h7TWBxh4um
— Justin Bennett (@JustinBennettFX) September 13, 2022
The trader warned that he thinks we still haven’t seen the lows for Bitcoin.
For the record, I still don’t think we’ve seen the lows since #Bitcoins.$BTC pic.twitter.com/deDaNFnPxJ
— Justin Bennett (@JustinBennettFX) September 13, 2022
Michael van de Poppe said markets were pricing in a 100 basis point rate hike by the US Federal Reserve for September.
Market prices are now 100 basis points for September.
The worst part is being priced.
— Michael van de Poppe (@CryptoMichNL) September 13, 2022
The cryptocurrency trader said: “The worst thing is to be rated.”
Meanwhile, the number of bitcoin addresses with 10 BTC or more has increased since February, Santiment said.
The quantity of #Bitcoins addresses with 10 or more $BTC has increased considerably since mid-February. Over the past 7 months, the number of these shark and whale addresses has increased by 3.6% on the network, and has returned to its highest level in 19 months. https://t.co/7bFgEh1QMh pic.twitter.com/2CwEUCMgZ3
— Santiment (@santimentfeed) September 13, 2022
“Over the past 7 months, the number of these shark and whale addresses has increased by 3.6% on the network, and has returned to its highest level in 19 months”, specifies the economic intelligence platform.
On the Ethereum side, the buzz surrounding the coin’s move to proof-of-stake remains intact. Stripe CEO Patrick Collisson said on Tuesday that the “fusion” was “one of the coolest examples of sustained, ambitious, and technically challenging open source development.”
Excited about The Merge! One of the most interesting examples of sustained, ambitious and technically challenging open source development. Congratulations and good luck to @VitalikButerin and the Ethereum community. pic.twitter.com/XGh4tWcmEG
—Patrick Collison (@patrickc) September 13, 2022
Read more : Investors worry about meltdown as Ethereum leads Bitcoin in $62M crypto outflows
