Bitcoin trades steady amid a week packed with data releases

Bitcoin remained relatively stable throughout the week, trading between $58,000 and $59,000 as markets anticipated a series of key data releases. The week kicked off with the release of July's Consumer Price Index (CPI) data from both the US and the UK on Wednesday. This was followed by major earnings reports on Thursday from retail giants Walmart and Alibaba. Today, all eyes are on the GDP data expected from Hong Kong and Taiwan, which could further influence market dynamics.

Despite these developments, Bitcoin has yet to gather the momentum needed to break above the crucial $60,000 level. A surge in liquidations from crypto derivatives markets has contributed to the lack of upward movement. The US CPI data revealed a price rebound for July, aligning with market expectations. However, this has tempered hopes for a significant interest rate cut by the Federal Reserve in the upcoming month, adding to the cautious sentiment among investors. Additionally, rising geopolitical tensions between Iran and Israel have further intensified market pressures, creating an uncertain environment for risk assets like Bitcoin. Whales are active at the support levels buying the dip.

Currently, Bitcoin is finding support at the $56,300 level, while facing resistance at $58,660. The market is closely monitoring these levels, as any significant breach could set the tone for Bitcoin's next move. As the week unfolds, traders are watching the upcoming data releases and geopolitical developments, which could either reinforce the current trading range or trigger a breakout.

Ethereum is facing challenges as it struggles to stay above the critical $2,400 support level. The market trend remains bearish, and this outlook is unlikely to shift unless the bulls manage to break through the key resistance at $2,800. Until that happens, the downward pressure on Ethereum is expected to persist.

In an interesting turn of events, Goldman Sachs made its debut in the spot Bitcoin ETF market in the second quarter purchasing about $418 million worth of Bitcoin funds. This surge in holdings reflects the growing institutional adoption of spot Bitcoin ETFs, signaling a continued acceleration in mainstream acceptance of cryptocurrency as a viable investment asset.

Coming to the price action, among the top 100 cryptos by market cap, here are the best and worst-performing cryptos over the past week:

As per prices on Friday.

Top 5 crypto gainers during the week:

1. THORChain is up by 17%

2. Fantom is up by 16%

3. SATS is up by 16%

4. Aave is up by 12%

5. Zcash is up by 12%

Top 5 crypto losers this week:

1. Pepe is down by 14%

2. Jupiter is down by 12%

3. Bonk is down by 11%

4. FLOKI is down by 10%

5. Hedera is down by 10%

(The author Edul Patel is CEO & Co-founder of Mudrex. Views are own)

(Disclaimer: Recommendations, suggestions, views, and opinions given by the experts are their own. These do not represent the views of the Economic Times)