Bitcoin and Ether remain steady despite U.S.-Iran tensions and recent inflation data, with altcoins showing mixed performance.
Bitcoin holds near three-week high as geopolitical tensions temper market reaction to inflation data
Bitcoin has stabilized around $64,679.55, marking a three-week peak, despite rising tensions between the U.S. and Iran affecting market sentiment. This follows a softer-than-expected U.S. inflation report released earlier this week.
While Bitcoin is up over 3% from the previous day, it experienced a slight decline of 0.6% since midnight UTC. The cryptocurrency reached a high of $65,200 before geopolitical concerns regarding tanker movements in the Strait of Hormuz emerged.
Ether also showed resilience, maintaining a 5% gain over the last day despite a 0.8% drop since midnight, reaching $1,895, its highest level since early June.
In the broader market, the Nasdaq 100 futures rose by 0.53%, and S&P 500 futures increased by 0.22%, indicating some overall market strength.
Market Dynamics and Derivatives
Open interest in Bitcoin derivatives has remained stable at $17.3 billion. The funding rates across various platforms fluctuate between 0% and 8%, indicating ongoing consolidation in the market. The call/put ratio has shifted to a more bullish stance at 66/34, suggesting increased optimism among traders.
Liquidations amounted to $357 million over the past 24 hours, with a significant portion in Ethereum and Bitcoin. The Binance liquidation heatmap indicates that $63,500 is a critical level to monitor for potential price movements.
Token Performance
Among altcoins, Hyperliquid (HYPE) surged 4%, aiming for a new record above $78, while LIT saw minimal movement due to profit-taking after nearing its all-time high of $2.76. The Altcoin Season indicator from CoinMarketCap fell to 46/100, reflecting a concentration of strength in major cryptocurrencies like Bitcoin and Ethereum.
Zcash (ZEC) stood out with a notable increase of over 10% in the last 24 hours, stabilizing around $557 after its rise. Overall, while Bitcoin and Ether show resilience, the market remains cautious amidst geopolitical developments and fluctuating inflation expectations.
