XRP and Maker shine in an otherwise muted day of trading

XRP and Maker (MKR) are up by approximately 2% and 4%, respectively, even as most other cryptocurrencies continue to tread water following yesterday's market-wide sell-off across both crypto and stocks.

Bitcoin is trading around $94,100 at the time of writing, after a promising bounce back to $100,000 the previous day.

Analysts attribute the downturn to hotter-than-anticipated US economic data, which some say could suggest that the Federal Reserve may halt its cycle of interest rate cuts at its late-January meeting. If confirmed, this would mark the first pause since the central bank started cutting rates last year.

The Fear and Greed Index continues its slide into Neutral territory, signaling a rise in market caution.

The Relative Strength Index also reflects this uncertainty, aligning with the cooling sentiment. That said, some analysts believe that Trump’s upcoming inauguration on 20 January could serve as a potential spark for markets. 

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In the Markets

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Total crypto market cap

$3.34 trillion (-1.54%)

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What Bitcoin did yesterday

Daily high $96,113  |  Daily low $92,938

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Bitcoin market capitalisation

$1.86 trillion (-1.53%)

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Bitcoin 24-hour trading volume

$62.87 billion (-0.38%)

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SP500

+0.16%

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Fear and Greed Index

Neutral

Source: Coinmarketcap

The Fear and Greed Index measures volatility, market momentum/ volume, social media, surveys, dominance, and Google search trends to gauge market sentiment.

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Bitcoin Relative Strength Index (RSI) (14)

38.01

Values of 70 or above indicate that an asset is becoming overbought and may be primed for a trend reversal or experience a correction in price, while 30 or below indicates an oversold or undervalued condition.

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Cautionary Notes

It’s definitely tempting to get swept up in the excitement, but please heed these words of caution: Do your own research, only invest what you can afford, and make good decisions. The indicators contained in this article will hopefully help in this. Remember though, the content of this article is for information purposes only and is not investment advice or any form of recommendation or invitation. The Digital Commonwealth always advises you to obtain your own independent financial advice before investing or trading in cryptocurrency.