Cryptocurrency Market Update: Bitcoin Holds Below $63,000 Amid Economic Concerns
Cryptocurrency market remains steady as Bitcoin struggles to break above $63,000
Over the weekend, the cryptocurrency market saw little movement as Bitcoin (BTC) continued to trade below $63,000 on Monday. Analysts are warning that the lack of positive catalysts could lead to another leg down in the market amid growing economic concerns.
Stocks also experienced a volatile day of trading, with major indices dipping into the red near midday after the U.S. Treasury increased its federal borrowing estimate by $41 billion for the current quarter to $243 billion. This led to a rally in the yield on the 10-year Treasury, which reached 4.65% before trending lower.
Bitcoin broke below support at $63,600 in the early hours on Monday, dropping to a low of $61,750 before dip buyers stepped in to halt the pullback. The relief rally briefly pushed Bitcoin back above $63,200, but it currently trades at $63,070, down 0.9% on the 24-hour chart.
Analysts at Secure Digital Markets noted that Bitcoin is exhibiting a downtrend with consistent lower highs and lower lows, signaling bearish momentum. Uncertainty about interest rates is a major source of volatility in the market.
The upcoming week is crucial for economic data, with major reports from companies like PayPal and Amazon, as well as a Federal Reserve meeting. Investors are also eagerly awaiting the release of April’s nonfarm payrolls report on Friday.
Altcoins took a hit as Bitcoin struggled, with most tokens in the top 200 recording losses on Monday. However, Amp (AMP) was a standout performer with an 18.75% gain, followed by BinaryX (BNX) with a 6.4% increase and Helium (HNT) with a 5.7% gain.
Overall, the cryptocurrency market cap stands at $2.32 trillion, with Bitcoin’s dominance rate at 53.3%. Traders are advised to closely monitor key support levels as the market navigates through the current volatility.
