Bitcoin (BTC) experienced a slight increase of 1.3% over the past 24 hours, as traditional markets stabilized and the crypto market calmed after a sharp rally on Monday. The cryptocurrency, with the largest market capitalization, was trading at around $27,700 during the US afternoon hours. BTC briefly surpassed $28,000 earlier in the week but later retracted some of its gains. Analysts from Matrixport, a crypto services provider, highlighted that BTC broke out from its summer downtrend and established the $27,000 level as support. The report suggested that BTC’s price could potentially reach $30,000 but noted a drop in trading volume from $19 billion to $11 billion following the initial surge on Monday.
Enigma Securities, an institutional digital asset liquidity and advisory firm, predicted in a report that crypto markets would experience low volatility in the coming months. According to Vetle Lunde, a senior analyst at K33 Research, a market report suggested that markets are likely to consolidate and move sideways in October, providing an opportunity for long-term investors to accumulate. The broader crypto market, represented by the CoinDesk Market Index, slightly increased by 0.8%.
Meanwhile, traditional markets experienced a calm session after a turbulent day on Tuesday. The US labor market showed signs of cooling as the ADP reported that only 89,000 jobs were added in September, significantly lower than the expected 153,000 and the previous month’s 180,000. This revealed the smallest increase in private sector jobs since 2020. The S&P 500 index closed 0.8% higher, while the tech-heavy NASDAQ 100 index gained 1.45%.
Ether (ETH) price underperformed and slid 0.7% as investors digested the disappointing start of the first futures-based exchange-traded funds in the US. K33 Research recommended rotating investments into BTC due to a lack of medium-term catalysts for ETH. Solana’s native token, SOL, also experienced a decline of 2.3% within the past 24 hours, although it is still up by over 20% in the past week.
