Altcoins experienced a successful week following a court ruling that sparked a significant rally in the crypto market. In contrast, bitcoin continued its downward trend for the third consecutive week. According to Coin Metrics, bitcoin closed the week with a 0.28% decrease, settling at $30,126.40. It is worth noting that cryptocurrencies trade around the clock.
Despite lower-than-expected inflation figures released midweek, the price of bitcoin remained relatively stable throughout the week. Even with a 4% surge on Thursday, it struggled to maintain the crucial technical level of $31,500. Unfortunately, most of those gains were given back on Friday, resulting in a flat performance for the week.
Ripple’s XRP Takes the Lead
The rally in altcoins was primarily driven by Ripple’s XRP, which experienced a more than 49% gain for the week. This surge followed a court ruling in the Southern District of New York that classified XRP as a security in certain cases but not in others. Solana’s token saw a 19% increase, while Cardano’s ada gained 13%. Polygon’s matic token finished the week with a 10% rise. Ether, on the other hand, experienced a more modest increase of 2.5%.
The court ruling had a significant impact on the crypto industry, particularly for Ripple. While the decision is generally viewed as positive, it was not an unequivocal victory. The Southern District of New York’s ruling marked the latest development in a three-year legal battle between Ripple and the Securities and Exchange Commission (SEC). It is important to note that the findings may be appealed and reversed, as the court is set to issue a separate order for a trial date.
The Continuing Struggle for Bitcoin
Bitcoin, often regarded as the flagship cryptocurrency, has been facing ongoing challenges. Despite the psychological support of the $30,000 level, it has struggled to break out decisively over the past few weeks. Yuya Hasegawa, a crypto market analyst at Bitbank, a Japanese bitcoin exchange, commented on the situation, stating, “It is somewhat difficult to comprehend the fact that the struggle is still going on.”
Investors responded cautiously on Friday, causing most major crypto assets to trade in the red. The excitement from Thursday’s rally was tempered as investors considered what the future might hold for the crypto market. Ripple’s XRP experienced a decline of nearly 15%, while matic and ada saw pullbacks of approximately 7% each.
In summary, altcoins had a strong week driven by Ripple’s XRP following a court ruling on its security classification. Bitcoin, however, experienced another week of decline. The struggle for bitcoin to break out of its range-bound movement continues, despite the psychological support of $30,000. While the court ruling is considered favorable for Ripple and the crypto industry, it is not a definitive victory. The findings may be subject to appeal and reversal, as a trial date is yet to be determined.
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