The cryptocurrency markets showed consistent growth during the early hours of Thursday in Asia, bouncing back after a significant sell-off the previous night. Federal Reserve Chair Jerome Powell squashed expectations for early interest rate reductions as global markets continue to adjust to the repercussions of newly implemented U.S. tariffs.
According to data from CoinGecko, Bitcoin (BTC) rose by 2% in the last 24 hours, nearing $84,500. Ether (ETH), XRP, dogecoin (DOGE), and BNB from the BNB Chain also saw gains ranging from 1% to 3%, with Solana’s SOL leading the pack with a 6% increase.
Further down the list, Hyperliquid’s HYPE spiked 8.5%, leading the midcap gainers without any clear catalyst. Conversely, Celestia’s TIA dropped 4%, marking the largest loss as selling pressure mounts on tokens with lengthy unlock schedules, influenced by the recent decline of Mantra DAO earlier this week.
Powell indicated that the Federal Reserve requires additional time to fully understand the effects of tariffs on the global economy. This delay is expected to mirror economic consequences, potentially leading to the phenomenon known as “stagflation,” reminiscent of the economic climate in the 1970s when the U.S. faced sluggish growth alongside exorbitant inflation rates.
“Traders were hoping the Fed would implement early rate cuts to support markets, but it seems that’s not in the cards for the near future,” said Jeff Mei, COO of BTSE, in a Telegram message to CoinDesk. “In the short term, Bitcoin is likely to fluctuate within the $80,000 – $90,000 range until we gain more clarity regarding tariff discussions and potential rate reductions.”
In other commentary, Augustine Fan, head of insights at SignalPlus, noted that Powell’s statements disappointed more dovish market participants by emphasizing the need to guard against tariff-induced price increases, which could drive long-term inflation expectations higher.
“Crypto remains relatively stable; however, technical indicators appear more favorable in the near term as long as BTC maintains above $81,000. Markets will likely remain focused on the details of Trump’s initial trade agreement when it is released, along with the upcoming corporate earnings season starting next week,” Fan commented.
Meanwhile, below is the technical analysis and patterns identified by system algorithms in the market today.
SOL Price Analysis
- SOL witnessed a 14.5% price increase from $119.58 to $136.01 between April 11-14, followed by a notable retracement.
- The overall range of $16.42 reflects a 13.7% volatility span.
- Following peak trading volume during the rally on April 12-13, momentum indicators suggest a decrease in buying pressure.
- SOL has formed a descending resistance trendline originating from the $136 high.
- Support has emerged around the $126-$127 range, with the 50-hour moving average serving as dynamic resistance.
- Recent price movements indicate consolidation post-rally, with lower highs suggesting potential further decline if the $125.67 support level is breached.
XRP Price Analysis
- Recent volatility hints that XRP may be preparing for a substantial movement as it tests vital support levels after sharp price fluctuations.
- XRP experienced a significant price rise between April 12-13, jumping from $2.00 to a peak of $2.24 (an 11.7% range), propelled by an impressive trading volume surpassing 240M during the breakout hour.
- The rally established solid resistance in the $2.18-$2.24 range, alongside forming support around $2.08-$2.10.
- Current price actions indicate a bearish reversal pattern with decreased momentum as XRP retraced to $2.09, entering a consolidation phase.
- The 48-hour Fibonacci retracement suggests the price has retracted to the 61.8% level, indicating possible stabilization. However, declining volumes and the inability to maintain above $2.15 signal caution for bullish traders in the near term.
ETH Price Analysis
- Ether showed significant price fluctuations with a 7.8% overall range ($119.72) between $1,546.87 and $1,666.50.
- An analysis of the last 48 hours reveals a bearish reversal pattern as ETH failed to sustain upward momentum after peaking at $1,690.16, ultimately forming a double top before sharply declining.
- Volume metrics reflect increased trading activity during downward trends, especially during the sell-off event on April 14th where volume exceeded 500,000 units, indicating robust selling pressure.
- The 50-hour moving average at approximately $1,625 now acts as an immediate resistance level, while important support has been established in the $1,585-$1,590 range.
