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A day after the U.S Independence day, Bitcoin (BTC), the largest cryptocurrency by market capitalization, is up 5% over the past 24 hours and is trading at around $20,107 at the time of writing, according to data from CoinMarketCap.
Ethereum (ETH), the second-largest cryptocurrency, has gained 9% in the last 24 hours and is changing hands for around $1,148.
The global cryptocurrency market capitalization is up 5.3% to $910.9 billion in the last 24 hours, suggests data from CoinMarketCap.
Other top cryptocurrencies, including Binance Coin (6.6%), Solana (7.8%), Polygon (14%), and Avalanche (5.26%), have also posted tremendous gains over the past 24 hours.
However, the recent gains are not significant enough to offset the losses from the recent crypto crash.
Bitcoin is still down 70% from its all-time high of $68,789.63 recorded in November 2021; Ethereum has shed 76% from its picotop of $4,891.70 recorded in the same month.
Over $170 million has been liquidated in the crypto market over the past 24 hours, according to data from Coinglass.
Ethereum leads liquidations with $69 million, followed by Bitcoin with $45 million, and Solana with $10 million over the same period.
The majority of liquidations for all three assets came in the way of blown-out short positions.
Cryptocurrencies flipped bearish after the Federal Reserve announced a 75-basis point rate to control growing inflation last month. The Fed is again meeting on July 26th, with many expecting another 75-basis point hike.
What’s pushing Bitcoin and Ethereum?
The primary reason behind today’s bullish price action is improved on-chain user activity and a healthy movement in Total Value Locked (TVL) across Ethereum.
According to data from Glassnode, Bitcoin appears to have flushed out “market tourists” with only so-called HODLers remaining. These market participants may have been responsible for creating something of a recent floor price for the leading cryptocurrency.
The Fed meeting at the end of the month will, however, put this demographic to the test.
The number of addresses with non-zero balance on the Bitcoin network is also seen rising after a sharp decline in May 2022. Currently, there are nearly 42.344 million Bitcoin addresses with a non-zero balance—a new all-time high for this specific metric.
As for Ethereum, the TVL across Ethereum has increased by 4.47% over the past 24 hours, suggests DefiLlama.
According to data from Dune Analytics, decentralized exchange (or DEX) trading volume is also up 76% to $1.73 billion over the past 24 hours.
NFT sales volumes have risen too, posting an increase of 0.48% to $12.9 million over the past 24 hours, suggests data from Cryptoslam.
However, Ethereum-based NFT sales volume has been down 1% over the past 24 hours. But Solana-based NFT sales volume is up 8.19% over the same period of time.
Outside of the cryptocurrency market, stock markets across the globe are in green during today’s trading hours.
Singapore’s SGX NIFTY index is up 1.07%, Japan’s NIKKEI 225 index is up 1.03%, India’s SENSEX index is up 1.05%, and South Korea’s KOPSI index is up 1.8%.
Yesterday, the European markets ended in the green, with the UK’s FTSE up 0.89% and France’s CAC index up by 0.4%.
The NASDAQ index was also up by 0.9%, and the Dow Jones Industrial Average (DJI) index was also up by 1.05% pre-market. The S&P 500 is also up 1.06% before the opening bell.
Disclaimer
The views and opinions expressed by the author are for informational purposes only and do not constitute financial, investment, or other advice.