Bitcoin, Ether Prices Extend Losses; Dogecoin only winner among top 10 cryptos

by James · February 13, 2023

Bitcoin continued to trade below $22,000 in Monday afternoon trading in Asia. All other top 10 non-stablecoin cryptocurrencies fell except for Dogecoin. Crypto markets have been trading lower since the Securities and Exchange Commission (SEC) fined US-based crypto exchange Kraken US$30 million for failing to register its betting service.

See related article: A house shared? SEC Commissioner Peirce Attacks Agency’s Fines Against Kraken Exchange

Fast facts

Bitcoin, the largest cryptocurrency by market capitalization, fell 0.14% to US$21,794 in the 24 hours to 16:30 in Hong Kong, after losing 4.72% for the week. Ethereum lost 1.27% to US$1,514, a weekly loss of 7.25%, according to CoinMarketCap data.
Dogecoin was the only top 10 non-stablecoin cryptocurrency to gain, rising 1.25% to $0.0829 in 24 hours, after falling 10.5% over the past seven days.
Polygon was the biggest loser among the top 10 in Monday afternoon trading, falling 4.57% to $1.20.
XRP fell 2.25% to $0.3733, after losing 6.45% in the past seven days. US-based Ripple Labs, whose payment network is powered by XRP, has been embroiled in its own legal dispute with the SEC since December 2020 for allegedly selling $1.3 billion in unregistered securities. Ripple Labs expects a court decision within the first six months of this year.
“While SEC enforcement [on Kraken exchange] is negative for the industry, it (so far) once again excluded US crypto users from being part of the innovation,” said Markus Thielen, head of research at Matrixport in a February 10 report shared with Discard. “The winners are likely to be venture providers in Asia, and despite this announcement, we are bullish on venture opportunities.”
Asian stock markets were mixed on Monday as traders await key US inflation data on Tuesday. Economists expect the US consumer price index for January last year to come in at 6.2%.
Although US inflation has fallen steadily in recent months, the Federal Reserve is expected to raise interest rates further to bring inflation down to its 2% target. U.S. interest rates are at their highest in 15 years, at 4.5% to 4.75%, and central bank officials have suggested they could rise to as much as 5%.
Hong Kong’s Hang Seng index fell 0.12% at Monday’s close, while Japan’s Nikkei 225 fell 0.88%.
The Shenzhen Component Index rose 1.14% to end the day, while the Shanghai Composite rose 0.72%. According to Jason Yu, Schroder’s Asia head of multi-asset management, China’s overall economy is expected to stage a “marked recovery” as early as the second quarter of 2023, although the pandemic may pose challenges and affect the momentum of recovery in the first quarter.
“Due to the potential risk of recession in Europe and the US, external demand for Chinese goods may fall. In this regard, investors would be wise to keep track of China’s export performance in 2023,” Yu said in a report shared with Discard.
See related article: Coinbase CEO says he’ll “gladly defend” crypto staking service against claims it’s a securities product