Cardanos ADA and XRP led losses among Majors on Tuesday as dealers are waiting for the result of the upcoming Federal Reserve (FOMC) meeting, where the rates are expected to remain unchanged but bold chairman Jerome Powell’s comments could give signals of additional market positioning.
Bitcoin (BTC) prices that were held over $ 94,000 after briefly dipped below this level on Sunday and continued its recent reach behavior.
The ADA price fell almost 4%, while XRP slipped in a similar way. Ether (ETH) dropped almost 1%, the BNB chain’s BNB rose 1.3%, and Memecoin Dogecoin (DOGE) dropped 2%over the last 24 hours.
The widely based Coindesk 20 (CD20), a fluid index that tracks the largest tokens at market value fell just over 1.8%.
Elsewhere, some defi symbols such as Aave, Curve’s CRV and Hyperliquid’s Hype have seen a shock in demand during the past week in a sign of traders interest in projects with utility and yield mechanisms, some say.
“When Memecoins fall out of advantage, the traders turn to projects with stronger basic elements and token economy,” Kay Lu, CEO of Hashkey Eco Labs, told Coindesk in a telegram announcement.
“Defi -ecosystems benefit from this pivot, especially as Bitcoin shows reduced volatility and macrous security dwells. We are hopeful to see the defi trend continues as Bitcoin maintains reduced volatility and crypto acts as a hedge for financial uncertainty,” Lu added.
Hype joint gains among the 100 best tokens with a 72% increase in the last week with Aave and CRV up to 40%.
Powell’s comment in focus
Dealers across both crypto and traditional financing markets look at this week’s decision on FOMC interest rates, with consensus expectations pointing to a break in clean increases.
However, uncertainty about inflation, duties and the broader US merchant stresses has left many participants cautious.
“We don’t expect FOMC to trigger a big move in the markets,” Augustine Fan, head of insight on SignalPlus, said in a telegram message. “It’s a coin flip in direction. Crypto is likely to take signals from wider earnings growth and how the economy digests the effect of recent trade policies.”
The latest stock market power suggests that investors only prices in a mild recession risk, about 8%, according to historic tensile models. It contrasts with more bearish signals from bond markets and macroeconomic forecasts, added fan.
Last week, President Trump confirmed no immediate plans for conversations with China that dampened hope for a breakthrough in trade negotiations in the United States – China. Still, the possibility of separate trade agreements has helped keep the risk sight intact, as reported on Monday.
