Leading cryptocurrencies dipped on Wednesday, diverging with the stock market rally, as the market expects more from the new Donald Trump administration.
| Cryptocurrency | Gains +/- | Price (Recorded at 7:30 p.m. ET) |
| Bitcoin (CRYPTO: BTC) | -2.33% | $103,392.39 |
| Ethereum (CRYPTO: ETH) | -2.13% | $3,255.66 |
| Dogecoin (CRYPTO: DOGE) | -1.94% | $0.3612 |
What Happened: Bitcoin steadily fell from the highs of $107,000 tapped the day before. The top cryptocurrency hit an intraday low of $102,561 overnight.
Ethereum followed a similar trajectory, losing more than 2% of its value in the last 24 hours. The second-largest cryptocurrency has suffered losses of more than 5% over the week.
Though the SEC under acting Chairman Mark Uyeda launched a dedicated cryptocurrency task force to frame regulations for the industry, investors have been left disappointed due to no cryptocurrency-related executive orders from Trump thus far.
In the past 24 hours, 96,027 traders were liquidated, with total liquidations at $185.56 million. Upside bets worth $133.52 million were wiped out.
Long liquidations likely caused Bitcoin's Open Interest to slip by 3.06% in the last 24 hours.
That said, a rebound to $107,000 could liquidate nearly $565 million worth of short positions.
The market sentiment cooled from "Extreme Greed" to "Greed" over the last 24 hours, according to the Crypto Fear & Greed Index.
Top Gainers (24-Hours)
| Cryptocurrency | Gains +/- | Price (Recorded at 7:30 p.m. ET) |
| XDC Network (XDC) | +14.13% | $0.1318 |
| Worldcoin (WLD) | +8.21% | $2.28 |
| Pudgy Penguins (PENGU) | +5.10% | $0.02501 |
The global cryptocurrency market capitalization stood at $3.62 trillion, expanding by 3.62% in the last 24 hours.
Stocks surged for the second straight trading day of the week. The Dow Jones Industrial Average jumped 130.92 points, or 0.30%, to close at 44,156.73. The S&P 500 lifted 0.61%, ending at 6,086.37, just below its record closing highs. The tech-heavy Nasdaq Composite gained 1.28% to close at 20,009.34.
Artificial intelligence players, including Nvidia Inc. (NASDAQ:NVDA), surged as President Donald Trump announced a $500 billion initiative to bolster the industry in the U.S. Nvidia rallied 4.43% during Wednesday's session.
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Analyst Notes: Widely followed cryptocurrency technical analyst Rekt Capital noted that Bitcoin likely entered a re-accumulation phase before trend continuation to new all-time highs.
"The last time Bitcoin experienced re-accumulation was in the post-halving re-accumulation phase. Bitcoin rallied +46% upon breakout from that phase," the analyst added.
A similar move could propel the apex cryptocurrency to nearly $150,000, Rekt Capital projected.
Popular cryptocurrency trader Michaël van de Poppe made optimistic predictions for Ethereum, owing to large purchases by World Liberty Financial, a decentralized finance platform backed by Trump.
"The fact that World Liberty has been buying so much ETH makes me more bullish on that particular asset," he said. "I think it’s going to start and make a great revival through 2025."
Photo by Avi Rozen on Shutterstock
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