The cryptocurrency market has experienced price declines for Bitcoin and numerous altcoins. Over the past 24 hours, Bitcoin has lost value but still shows positive weekly performance.
Bitcoin Price Dynamics
Bitcoin (BTC) briefly surged past $122,000 on August 11, with its market capitalization nearing $2.5 trillion. However, shortly after, BTC dipped down, at one point slipping below $118,500. Currently, the asset trades just below $119,000. Bitcoin's market capitalization has retreated to approximately $2.36 trillion, but it remains the sixth-largest asset in the world.
Situation in the Altcoin Market
Ethereum (ETH) has held its ground at around $4,300, representing a 45% increase on a monthly scale. Conversely, many altcoins have faced significant losses over the last day. Prices for Story (IP) fell by 16%, while Bonk (BONK) and Pudgy Penguins (PNGU) dropped by 12% each, and Pi Network (PI) declined by 7%. The overall cryptocurrency market capitalization has decreased to $4.04 trillion.
Market Outlook
Expectations for increased volatility in the cryptocurrency market arise as the US Consumer Price Index report is set to be released today. It is anticipated that inflation in the world's largest economy will show signs of decrease, potentially benefiting the crypto market. Conversely, softer-than-expected inflation could spur a crypto rally by reviving hopes for looser monetary policies.
Both Bitcoin and altcoins are under market pressure, but positive trends continue on a weekly basis. Anticipated inflation reports may affect the future direction of cryptocurrencies.
