Bitcoin experienced a volatile trading session on Friday, with significant price swings both before and after the release of August Consumer Price Index (CPI) data, before ultimately settling around the $77,000 mark.
Ethereum mirrored this volatility, surging to an eight-month high before encountering resistance. Many other large-cap altcoins showed gains over the past 24 hours.
Bitcoin’s Rollercoaster Ride
The primary cryptocurrency faced rejection above $80,000 at the beginning of the week and failed to regain that level in the subsequent days. Instead, selling pressure intensified amid growing global economic uncertainty, pushing Bitcoin down to $77,600 just a few days later. An attempt to rebound was thwarted at $79,600 on two occasions, September 9 and 10, before bears initiated another downward move, bringing the price below $77,000 following the release of Producer Price Index (PPI) data on Thursday.
Bitcoin managed to resist the mounting pressure, trading sideways around $77,000 as Friday approached. This period was crucial as markets awaited the August CPI figures. Once the data was released, aligning closely with expectations, a significant market reaction ensued.
Initially, Bitcoin plunged to a multi-week low of $76,000. However, it quickly rebounded, surging by nearly $4,000 to reach $79,800. Another rejection followed, causing Bitcoin to fall back to its starting point, just above $77,000, where it currently remains. All eyes are now on the Federal Reserve, which has received the complete economic picture.
Bitcoin’s market capitalization is holding steady at $1.550 trillion, with its dominance over altcoins decreasing to 58.7% on CoinMarketCap.
Ethereum and Altcoin Performance
Ethereum emerged as a top performer during the post-CPI rally, skyrocketing from $2,440 to a new eight-month high of $2,670. However, it faced resistance and retreated to just over $2,500. Despite this pullback, Ethereum is still up 3% for the day, mirroring the performance of BNB, which is trading above $730. XRP remains below $1.40, even with a 2% daily increase, while Solana has successfully defended the $100 support level.
Zcash (ZEC) and Monero (XMR) are showing upward momentum, with gains of 4.8% and 5.3%, respectively. Other notable large-cap altcoin gainers include Uniswap (UNI) and Skycoin (SKY), followed by Stellar (XLM), Bitcoin Cash (BCH), and Litecoin (LTC).
The total cryptocurrency market capitalization has increased by 0.6% since yesterday, reaching $2.640 trillion on CoinMarketCap.
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