Leading cryptocurrencies held steady on Thursday, while stocks climbed to record highs following softer-than-expected producer inflation data.
Crypto Market Steady
Bitcoin’s attempt to break above $64,000 fizzled, sending the cryptocurrency below $63,000 amid a 19% drop in 24-hour volume.
Ethereum wobbled within the $1,861-$1,898 range, with 24-hour trading volume down 12%. XRP and Dogecoin posted modest gains.
Nearly $212 million was liquidated from the cryptocurrency market in the last 24 hours, with long and short liquidations broadly balanced, according to Coinglass data.
Bitcoin’s open interest slid 0.68% over the last 24 hours. Notably, retail and whale derivatives traders on Binance remained net long on the apex cryptocurrency despite the price decline.
Top Gainers (24 Hours)
The global cryptocurrency market capitalization stood at $2.17 trillion, declining 0.47% from the previous day.
Stocks Hit Record High
Stocks rallied sharply on Thursday. The Dow Jones Industrial Average rose 0.13%, or 69.72 points, to end at 53,839.99. The S&P 500 climbed 0.65% to close at a record high of 7,798.99, while the tech-heavy Nasdaq Composite added 0.81% to settle at 26,803.03.
The Producer Price Index was unchanged in July, falling short of economists’ forecast for a 0.2% monthly increase. Core PPI, which strips out food and energy, rose 0.2% in the month against the 0.3% expected.
The PPI numbers landed a day after the July Consumer Price Index rose 3.4% from a year earlier, matching expectations, while core inflation eased to 2.5%, also as expected.
The odds of an interest rate hike in September fell further, from 40.6% to 34.8% in a day, according to the CME Fedwatch tool.
Will the Market Move Against Retail Fears?
Blockchain analytics firm CryptoQuant highlighted Bitcoin’s latest rejection at the Trader On-chain Realized Price of $65,600, a level that has consistently capped price rebounds in recent months.
“Reclaiming it is the level to watch,” the firm added.
The Realized Price is the average acquisition cost basis of all coins in circulation, calculated by taking the total value of assets when they last moved on the blockchain divided by the total circulating supply.
On-chain analytics firm Santiment noted rising social mentions of “dead,” “dying,” “over,” “ended” tied to cryptocurrency and Bitcoin, a sign that “retail patience is breaking.”
“Crypto markets often move hardest against the crowd when the crowd becomes too certain that upside is gone,” Santiment said. “When ‘crypto is dead’ talk rises while Bitcoin holds key levels, stronger hands keep accumulating, and forced sellers fade, the setup often becomes more attractive for patient buyers.”
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