
WASHINGTON (dpa-AFX) - Cryptocurrencies are trading deep in the red amidst broad-based market anxiety ahead of the release of the jobs data from the U.S. on Friday morning. The monthly jobs data is expected to be pivotal in the outcome of the Fed's interest decision to be announced in less than a fortnight.
In data to be released on Friday morning, the U.S. Bureau of Labor Statistics is expected to show additions of 160 thousand to non-farm payrolls during August. The additions were 114 thousand in July, 179 thousand in June and 216 thousand in May. The unemployment rate is seen edging down to 4.2 percent. The same was 4.3 percent in July, 4.1 percent in June and 4 percent in May. The average hourly earnings are seen rising on a month-on-month basis to 0.3 percent from 0.2 percent in July. On a year-on-year basis, the hourly earnings are seen increasing to 3.7 percent from 3.6 percent in July.
The key question for markets including crypto is whether the labor market deteriorated in August, jeopardizing the Fed's mandate of maintaining maximum employment. Any such hints from Friday's data are expected to goad the Fed to an emphatic monetary easing aimed at reviving the labor market. If the data does not suffice to indicate a severe cooling in the job market, the Fed may embark on only a nominal rate cut. Till then, crypto markets are shying from making any big bets.
The decrease in the 6-currency Dollar Index to a low of 100.84 from 101.11 at the previous close as well as the global decline in bond yields portend growing expectations of a Fed rate cut.
With such a pivotal data on the horizon, crypto markets are apparently not ready for an event risk. The decline in crypto market capitalization to $1.97 trillion from $1.99 trillion a day earlier and $2.09 trillion a week earlier is attributed to this nervousness.
Despite market capitalization of cryptocurrencies declining more than 1 percent over the past 24 hours, market capitalization of stablecoins is stable at $170.8 billion implying the market's risk aversion.
Bitcoin traded between $57,237 and $55,304 in the past 24 hours. It is currently trading at $56,165 implying overnight decline of 0.99 percent, weekly losses of 5.5 percent and a year-to-date addition of 32.8 percent. At its current price, the leading cryptocurrency is trading 24 percent below the all-time high recorded in March 2024.
Data from Farside Investors on Bitcoin Spot ETF products in the U.S. showed a net outflow of $211 million on Thursday, jumping from $37 million a day earlier.
Ethereum shed 0.8 percent in the past 24 hours to trade at $2,373, around 51 percent below the all-time high. Amidst weekly losses of close to 5.5 percent, the leading altcoin's year-to-date gains are now only 4 percent.
Data from Farside Investors on Ethereum Spot ETF products in the U.S. showed a net outflow of $0.2 million on Thursday, sharply lower than the outflows of $37.5 million a day earlier.
4th ranked BNB (BNB) rallied 0.4 percent overnight to trade at $505.98. 5th ranked Solana (SOL) declined 1.4 percent overnight and 6.4 percent in the past 7 days. SOL is currently trading at $130.62.
7th ranked XRP (XRP) lost 2.3 percent overnight and 4.4 percent in the past week to trade at $0.5377. The cryptocurrency issued by Ripple Labs is grappling with year-to-date losses of more than 12.5 percent.
8th ranked Dogecoin (DOGE) gained 0.4 percent overnight to trade at $0.09759. TRON (TRX) ranked 9th overall has declined 0.7 percent in the past 24 hours to trade at $0.1498. 10th ranked Toncoin (TON) rallied 3.6 percent overnight. TON is currently trading at $4.81.
31st ranked Sui (SUI) has gained 2.6 percent overnight, followed by 86th ranked SATS (1000SATS), 52nd ranked Helium (HNT) and 72nd ranked Notcoin (NOT) that have all gained more than a percent overnight.
83rd ranked MultiverseX (EGLD) topped overnight losses with a decline of more than 5 percent. 58th ranked Bonk (BONK) and 38th ranked Aave (AAVE) have both shed more than 4 percent overnight.
For More Cryptocurrency News, visit rttnews.com
Copyright(c) 2024 RTTNews.com. All Rights Reserved
Copyright RTT News/dpa-AFX
© 2024 AFX News