The US Consumer Price Index (CPI) release yesterday indicated rising inflation, which market participants linked in part to geopolitical tensions with Iran. Bitcoin briefly dipped below $80,000 on the news but recovered quickly and is trading higher this morning.
Binance Coin (BNB) has overtaken XRP in market capitalization after a 2.5% gain, while Dogecoin (DOGE) strengthened its position among the top 10 altcoins following a 2% rise.
BTC Rebounds After CPI
Bitcoin peaked near $83,000 last Wednesday before a rejection pushed its price down to about $79,100 by Friday. A measured recovery began over the weekend, allowing BTC to reclaim the $80,000 level.
Volatility increased as traditional markets reopened on Monday. The cryptocurrency fell from roughly $81,500 to $80,250 before spiking to about $82,500 after reports that Iran had submitted another peace proposal to the United States. The proposal was quickly dismissed by the US president, and Bitcoin lost roughly $2,000 within minutes.
Another attempted breakout on Tuesday stalled near $82,000. The CPI data released yesterday showed inflation rising, and Bitcoin slipped to just under $80,000 shortly after the numbers were published. The market then reacted favorably, and BTC has since rebounded to around $81,000.
Bitcoin’s market capitalization is holding steady near $1.62 trillion, and its dominance over altcoins remains above 58% on CoinGecko.
BNB Flips XRP
The contest for the fourth-largest cryptocurrency by market cap remains close. Binance’s native token BNB has moved ahead of XRP over the past 12 hours after a 2.5% advance, while XRP’s price has been rangebound.
Other small-cap names are mixed: HYPE, CC, BCH, TAO, and SUI are marginally lower on the day, while DOGE trades above $0.11 after gaining about 2%. NEAR is the day’s largest winner, jumping nearly 6% to $1.64. STABLE, WLFI, and TRUMP also posted gains amid heightened geopolitical developments, including a high-profile visit by the US president to meet China’s Xi Jinping.
On the downside, VVV plunged more than 17% to below $15, and ONDO, TON, and PENGU are deeply in the red as well.
The total cryptocurrency market capitalization is roughly $2.78 trillion.