Summary
- Crypto roundup for Tuesday portrays consolidation after a downbeat day as traders shift their focus back to Fed rate cuts and the Ukraine-Russia peace deal.
- Bitcoin stalls four-day losing streak, bouncing off one-week low, while Gold grinds at six-week high, and U.S. Dollar licks its wounds after seven-day loss.
- Light calendar and news line allowed traders to pare previous losses as Japan bond yields stall further upside.
- Prevalent dovish bias about Fed, Ukraine-Russia peace optimism regained attention.
- U.S. Envoy Witkoff reaches the Kremlin, Ukrainian President Zelenskyy sounds optimistic on ending the war.
- Wall Street begins trading with modest gains, major cryptocurrencies pare the previous day’s losses.
- Risk catalysts will be crucial to determine near-term moves ahead of next week’s FOMC.
Crypto Roundup for Tuesday: A Consolidation Phase Emerges
Market sentiment remains modestly positive early Tuesday morning in New York as traders reassessed the previous risk-positive news amid a light calendar and a pause in the Japanese government bond yields’ rally. In doing so, the traders consolidate the previous day’s heavy losses despite a lack of a major positive catalyst.
Amid these plays, Bitcoin (BTC) posts the first daily gain in five while bouncing off a week’s low, up over 2.0% on the day to $88,600, while the spot Gold (XAU) remains sidelined near $4,230 after a two-day winning streak at a six-week high. That said, the U.S. Dollar Index (DXY) stalls a seven-day losing streak while taking a U-turn from a two-week low to 99.40 by press time.
US special envoy Steve Witkoff has reportedly reached the Kremlin to present the U.S. peace proposal for Ukraine-Russia in person to Russian President Vladimir Putin.
On the same line, Ukrainian President Volodymyr Zelinskyy showed optimism about ending the war while saying, “Now is a better chance than ever to end the war.” The update also signals Zelinskyy’s wait for the US communication post-Putin meeting, by also showing readiness to meet with US President Trump for peace talks.
Elsewhere, Japan’s 30-year Government Bond (JGB) yields stalled near an all-time high, while the 10-year JGB yields retreated from a multi-year high to snap a two-day winning streak, allowing the risk-averse traders to take a breather after the rally in the yields triggered risk-off sentiment.
Notably, the Chicago Mercantile Exchange’s (CME) FedWatch Tool portrays an 87% chance of the rate cut in December, versus a 12.8% chance of no rate cut. It should be noted that the December Fed rate cut bets were nearly 40% during mid-November and raised risk aversion before restoring the upbeat mood afterward.
Crypto, Equity Update
Major cryptocurrency coins face a corrective bounce, posting modest gains after starting December on a negative note, even as the risk profile remains only mildly positive.
That said, Bitcoin (BTC) and Ethereum (ETH) both rise between 2.0% to 2.5%, while Ripple (XRP) posts less than 1.0% daily gains. That said, Binance Coin (BNB) gains over 2.0%, while Cardano (ADA) and Solana (SOL) are both up more than 3.0% intraday by the press time.
Notably, MYX Finance (MYX) jumps over 14.0%, whereas AB (AB) and Canton (CC) both buck the trend with more than 8.0% loss in the last 24 hours.
On a broader front, crypto market capitalization (market cap) recovered after a heavy drawdown, up 1.6% to $2.97 trillion, while the Bitcoin Dominance rises to 58.9% from 58.7% during the last 24 hours, according to CoinMarketCap data.
That said, some of the top crypto news are as follows, while more updates like this could be traced to our News section.
Chief Executive Officer (CEO) of Telegram, Pavel Durov announced on X, that Cocoon, a confidential AI compute platform developed by Telegram on The Open Network blockchain, is now fully operational and processing its first user tasks. The system allows GPU owners to contribute computing power for AI inference and earn TON tokens, cutting out traditional intermediaries such as Amazon and Microsoft.
Read More: Telegram’s Cocoon AI Network Launches on TON With 100% Confidentiality; Here’s How to Join
An online banking arm of Sony Financial Group, Sony Bank, is likely preparing for a U.S. dollar-linked stablecoin that would be used across several of Sony’s entertainment services. The bank is working toward a launch in 2026, firstly trying to serve the U.S. market.
Also Read: Sony Bank Plans Dollar-Pegged Stablecoin for U.S. Entertainment Payments by 2026
A Nigerian FinTech firm facilitating remittances, RedotPay, collaborated with Ripple Payments to launch a new “Send Crypto, Receive NGN” service. The feature allows users to send XRP or stablecoins and receive Nigerian naira in local bank accounts within minutes.
More Details: Ripple Payments Powers RedotPay New Frontier with “Send Crypto, Receive NGN” Service
The U.S. banking regulator, Federal Deposit Insurance Corporation (FDIC), is finalizing its first set of rules to implement the new Genius Act, the U.S. stablecoin law, which was signed in July. Initial proposals will focus on application frameworks and prudential standards like capital and liquidity.
Also Read: FDIC Prepares First Wave of New Genius Act Rules for Stablecoins
Vanguard Group, the world’s second-largest asset manager, will permit trading of select Vanguard crypto ETFs and mutual funds on its brokerage platform. The move grants over 50 million clients, with $11 trillion in assets, access to regulated crypto exposure.
Read Details: Vanguard Crypto ETFs Opens the Gates on its $11 Trillion Platform
Moving on to the U.S. equities, Wall Street begins Tuesday’s trading with mild gains, consolidating the previous day’s losses. That said, Dow Jones, S&P 500, and Nasdaq all report nearly 0.10% to 0.70% intraday gain at the latest.
On Monday, all three U.S. equity benchmarks ended their five-day winning streak as record-high Japan bond yields and downbeat U.S. data triggered the risk aversion.
- Gold seesaws at a six-week high, posting mild losses near $4,230 by the press time.
- Bitcoin (BTC) stalls a four-day losing streak, up over 2.0% intraday to $88,600 at the latest.
- Ethereum (ETH) rises over 2.0%, reclaiming $2,890 during its bounce from a week’s low.
- U.S. Dollar Index (DXY) snaps a seven-day downtrend, but lacks recovery momentum near 99.40 by press time.
- U.S. equity benchmarks post mild gains, after snapping a five-day uptrend, by rising between 0.10% to 0.70% intraday at the latest.
- WTI Crude Oil drops, reversing the previous day’s gains, while falling to $58.30 as we write.
Market to face consolidation
Given the lack of major data/events, expectations of a December Federal Open Market Committee (FOMC) rate cut and a pullback in Japanese bond yields could pressure the U.S. Dollar, allowing major cryptocurrencies and equities to defend recent recovery.
Equities may drift higher, especially as the latest move helped technology shares more.
That said, if unexpectedly negative news triggers higher risk-off sentiment, the U.S. Dollar could halt its recent losses. Until then, Tuesday is likely to be a dull day, allowing traders to consolidate their previous fall.
Also read: Cryptocurrency Weekly Price Prediction: Is BTC, ETH, and XRP’s Rebound Reliable?
