Cryptocurrencies have begun a recovery after a sharp decline triggered by macroeconomic data. Investors are displaying cautious optimism.
Bitcoin and Altcoin Prices
Bitcoin rose 1.22% in the last 24 hours to $114,738. Previously, it had fallen from $119,000 on July 31 to $111,800 on Saturday. Altcoins have also shown positive movements: Ethereum increased by 3.12% to $3,549, XRP rose by 6.32% to $3, and Solana gained 1.66% to $163.69.
Reasons for the Decline
Presto Research analyst Min Jung attributed the decline to the disappointing US employment data. July saw only 73,000 jobs created, significantly below expectations. This led to profit-taking in the crypto market after several weeks of bullish activity.
Future Expectations and Predictions
According to Vincent Liu from Kronos Research, the market is in a "cautiously optimistic" position. Investors are awaiting the US Consumer Price Index (CPI) release on August 12, which is expected to have a significant impact on the Federal Reserve's rate decision. Liu also believes the SEC’s initiative "Project Crypto" will bring positive changes in the long term by clarifying token classifications and introducing innovation for DeFi.
Overall, the current situation in the cryptocurrency market indicates a recovery and cautious optimism among investors. Future economic data and regulatory initiatives will be crucial for the market's further movement.