Bitcoin’s price experienced a 3% decline following the opening of Wall Street markets, failing to maintain the $100,000 level despite recent rallies. The dip occurred amidst a rise in weekly jobless claims in the U.S., which slightly exceeded expectations, suggesting minor weaknesses in the labor market. However, this did not significantly impact stock stability.
The cryptocurrency landscape is shifting as altcoins take center stage. XRP reached a new all-time high on Bitstamp, and Solana posted an 8% gain driven by reports that the U.S. might establish a broader crypto reserve favoring domestically-founded altcoins. Consequently, Bitcoin’s dominance decreased, with expectations that altcoins will continue to outperform if Bitcoin’s market dominance dips below the 57.3% threshold.
Despite market fluctuations, institutional interest remains strong. U.S. spot Bitcoin ETFs saw significant inflows, totaling $755 million on January 15, reflecting robust institutional demand. However, expectations for a Federal Reserve rate cut in light of new jobs data remain low, with a mere 2.7% chance of rate reductions at the next meeting, highlighting a continued divide between Wall Street optimism and broader economic sentiment.