Bitcoin Nears $78K as Altcoins Face Pressure

Bitcoin Recovers Above $78,000 After Binance Hack, NEAR Plunges 6%

Bitcoin has seen a rebound of over $2,000 since hitting a multi-week low on Friday, following the significant Binance hack. The cryptocurrency is now attempting to regain the $78,000 mark.

Market Overview

While Ethereum has approached $2,300 and Tron (TRX) has seen a daily increase of 1.7%, most other large and mid-cap altcoins are trading in negative territory today. NEAR has experienced a notable decline of 6%.

Bitcoin’s Volatile Week

The primary cryptocurrency spent most of last week trading within a narrow range between $82,000 and $79,000. The lower boundary held firm against bearish pressure for several days, while the upper limit was tested multiple times until Wednesday. As markets braced for the crucial FOMC meeting, Bitcoin briefly touched $82,000 on two occasions but failed to sustain the momentum.

Following the Federal Reserve’s announcement of no change in interest rates, Bitcoin experienced another surge, nearing $82,000 for the third time in two days. However, another rejection occurred, and the asset quickly retreated to $81,000.

Impact of Binance Hack

Friday morning brought news of a substantial Binance hack, resulting in a loss of $6.3 billion for the exchange. The shockwaves reverberated through the crypto market, causing Bitcoin to plummet to $76,400 within minutes. Despite an immediate $2,000 recovery, bearish sentiment persisted, and the asset slipped to a six-week low of $76,100 later that day, mirroring declines in most other financial markets.

Bitcoin has spent the weekend gradually recovering and is now trading just above $78,000. Its market capitalization has risen to $1.570 trillion, with its dominance over altcoins remaining just under 60% on CoinMarketCap. Further volatility is anticipated this week due to key macroeconomic events.

Altcoin Performance

Ethereum has once again approached the $2,300 level, while BNB is trading above $710. XRP is currently defending the $1.25 support level, and TRX has shown a slight recovery from weekend losses.

In contrast, NEAR is leading the decliners today with a significant 6.3% drop to $4.13. Nearly all other large and mid-cap altcoins are following suit, with HYPE down by 1% and Bitcoin Cash (BCH) falling by over 2%. TAO, ENA, AAVE, AVAX, PUMP, and MORPHO have experienced even steeper declines.

Despite these individual asset movements, the total cryptocurrency market capitalization has remained relatively stable at $2.610 trillion on CoinMarketCap.