Weak Dollar Helps Crypto Market Climb

Major cryptocurrency coins are gaining right now, holding onto their increase and moving higher as the market is elevated.

Timothy St. John•Thursday, June 6, 2024•2 min read

Bitcoin (BTC), Ethereum (ETH), and Ripple (XRP) are all high today thanks partly to a weakening US dollar.

Cryptocurrency — The crypto market is climbing.

Bitcoin had surpassed $71,000 late on Wednesday but then settled down to $70,948 (BTC/USD) in the early morning hours of Thursday. This token has been steadily pushing toward a new record high, which it could achieve over the weekend.

Ethereum is up by 1.19% over the past day, hitting $3,845 (ETH/USD) and making its way toward the important $4,000 level. We have not seen the coin climb so high since 2021, and ETH hitting that level would be a significant win for the cryptocurrency market.

Ripple’s coin XRP is down slightly from yesterday to $0.5265 (XRP/USD) but is still elevated above where it has been for much of the past week.

The crypto market cap rose by 0.12% since yesterday, climbing to $2.6 trillion. The biggest gainer for the day was mantle (MNT), increasing 7.25%.

Why Is the Crypto Market High?

What we have seen across much of the cryptocurrency market is that many coins are staying high, keeping gains they have made over the week. They are managing to do this despite high inflation rates and a hawkish outlook from the Federal Reserve that is keeping interest rates locked for now.

Trade volume is high due to a weak US dollar, which makes the crypto market more appealing to investors who want to put their money into an asset that is growing. There is high interest in the market at the moment, especially with recent news that spot ether ETFs are fully approved by the Securities and Exchange Commission in the United States. We will see some of those ETFs actually roll out and be available on the market in the next few weeks, which could give the market a further boost. Right now, a number of them are going through an individual approval process.

We expect the market to remain high for now, unless new economic data from the Unemployment Claims reports and others due out this week show further indications of high inflation.

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ABOUT THE AUTHOR See More

Timothy St. John

Financial Writer - European & US Desks

Timothy St John is a seasoned financial analyst and writer, catering to the dynamic landscapes of the US and European markets. Boasting over a decade of extensive freelance writing experience, he has made significant contributions to reputable platforms such as Yahoo!Finance, business.com: Expert Business Advice, Tips, and Resources - Business.com, and numerous others. Timothy's expertise lies in in-depth research and comprehensive coverage of stock and cryptocurrency movements, coupled with a keen understanding of the economic factors influencing currency dynamics. Timothy majored in English at East Tennessee State University, and you can find him on LinkedIn.