Leading cryptocurrencies diverged from stocks on Wednesday as investors parsed tariff-related developments ahead of the Aug. 1 deadline.
| Cryptocurrency | Gains +/- | Price (Recorded at 10:25 p.m. ET) |
|---|---|---|
| Bitcoin (CRYPTO: BTC) | -0.32% | $118,916.47 |
|
Ethereum (CRYPTO: ETH) |
-2.71% | $3,642.88 |
| Dogecoin (CRYPTO: DOGE) | -8.69% | $0.2436 |
What Happened: Overnight, Bitcoin's price rebounded from its intraday low of $117,391.39 to near $119,000. Trading activity dropped, with volumes down by more than 13% in the last 24 hours.
Ethereum followed a similar trajectory, rising from $3,532 to more than $3,600 overnight.
Cryptocurrency liquidations reached $735 million in the last 24 hours, with long-position traders facing the brunt of the losses. A rally to $121,000, however, could erase over $580 million in Bitcoin shorts.
Bitcoin's open interest fell 2.19% in the last 24 hours to $84.26 billion. Interestingly, over 50% of Binance traders with open BTC positions were betting on further declines, according to the Long/Short ratio.
Top Gainers (24 Hours)
| Cryptocurrency | Gains +/- | Price (Recorded at 10:25 p.m. ET) |
|---|---|---|
| Story (IP) | +6.21% | $5.34 |
|
KuCoin Token (KCS) |
+0.77% | $12.14 |
| Conflux (CFX) | +0.55% | $0.1701 |
The global cryptocurrency market capitalization stood at $3.95 trillion, following a modest jump of 0.78% from the previous day.
Stocks notched higher in Wednesday's trading. The Dow Jones Industrial Average climbed 507.85 points, or 1.14%, ending at 45,010.29. The S&P 500 lifted 0.78% to end at a new record close of 6,358.91. The tech-heavy Nasdaq Composite spiked 0.61% to end at 21,020.02.
Tariff-related developments were high on investors' radar. A report indicated that the U.S. and the EU are nearing an agreement on a new trade deal before the Aug. 1 deadline.
Earlier in the week, President Donald Trump finalized a long-anticipated trade agreement with Japan.
See More: Best Cryptocurrency Scanners
Analyst Notes: On-chain analytics firm Santiment noted a significant drop in retail Bitcoin sentiment following its recent highs.
"The dust has settled from the July 14th $123,077 all-time high, and traders have shown signs of doubt," Santiment added. "If this trend continues, it could lead to another quick ATH."
Investor and entrepreneur Ted Pillows said that Ethereum is yet to enter the "banana zone" and anticipated a sideways accumulation before it breaks above $4,100.
"Once that happens, you’ll see the most violent rally," Pillows projected.
Photo Courtesy: PeopleImages.com – Yuri A on Shutterstock.com
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