While the crypto market remains cautious, Bitcoin demonstrates resilience. Ethereum is correcting slightly despite positive signals, with altcoins facing increased pressure. The Fed's imminent decision could reignite volatility across the sector.
Despite crypto investors’ eagerness to see the Altcoin Season begin, patience remains essential. While Bitcoin holds steady at $118,800, the second-largest cryptocurrency Ethereum has dropped 3% to settle at $3,800.
Interestingly, Ethereum ETFs in the United States have recorded positive flows for the seventeenth consecutive day, attracting over $5 billion in traditional capital during July. This apparent dichotomy can be partially explained by profit-taking from crypto traders following Ethereum’s recent gains, with its price surging nearly 60% since early July.
While Bitcoin remains resilient and Ethereum slightly bends, altcoins Solana and XRP are experiencing more pronounced downward pressure. XRP’s price has fallen by 5.1% to $3.14, while Solana has dropped 4.8% to $185.
Among the factors weighing on these two assets is the decision by the US Securities and Exchange Commission (SEC) to temporarily suspend approval of new spot ETFs backed by altcoins. Nevertheless, Bloomberg experts estimate there’s more than a 90% probability that XRP and Solana ETFs will launch before the end of the year.
Beyond regulatory decisions, cryptocurrency investors should also closely monitor the Federal Reserve’s monetary policy meeting Wednesday evening. Fed Chairman Jerome Powell’s statements on the future direction of interest rates will be scrutinized and could generate significant volatility across all markets, including cryptocurrencies.
Facing these numerous challenges, it’s essential for investors to remain vigilant and closely follow developments in the macroeconomic and regulatory landscape. A nuanced understanding of these dynamics will be crucial for effectively adjusting their cryptocurrency investment strategies.
Passionate about cryptocurrencies since 2019, I cover the latest news through clear and accessible articles. My goal is to make crypto understandable for everyone, with reliable and well-researched content.
DISCLAIMER
This article is for informational purposes only and should not be considered as investment advice. Trading cryptocurrencies involves risks, and it is important not to invest more than you can afford to lose.
InvestX is not responsible for the quality of the products or services presented on this page and cannot be held liable, directly or indirectly, for any damage or loss caused by the use of any product or service featured in this article. Investments in crypto assets are inherently risky; readers should conduct their own research before taking any action and invest only within their financial means. This article does not constitute investment advice.
Risk Warning : Trading financial instruments and/or cryptocurrencies carries a high level of risk, including the possibility of losing all or part of your investment. It may not be suitable for all investors. Cryptocurrency prices are highly volatile and can be influenced by external factors such as financial, regulatory, or political events. Margin trading increases financial risks.
CFDs (Contracts for Difference) are complex instruments with a high risk of rapid capital loss due to leverage. Between 74% and 89% of retail investor accounts lose money when trading CFDs. You should assess whether you understand how CFDs work and whether you can afford to take the high risk of losing your money.
Before engaging in financial or cryptocurrency trading, you must be fully informed about the associated risks and fees, carefully evaluate your investment objectives, level of experience, and risk tolerance, and seek professional advice if needed. InvestX.fr and the InvestX application may provide general market commentary, which does not constitute investment advice and should not be interpreted as such. Please consult an independent financial advisor for any investment-related questions. InvestX.fr disclaims any liability for errors, misinvestments, inaccuracies, or omissions and does not guarantee the accuracy or completeness of the information, texts, graphics, links, or other materials provided.
Some of the partners featured on this site may not be regulated in your country. It is your responsibility to verify the compliance of these services with local regulations before using them.
