Bitcoin Rally Stalls Ahead Of Jobless Claims As Crude Oil Extends Decline: Crypto Market Sees $420M In Liquidations

• The broader crypto market declined 1.4%, with more than $420 million in leveraged positions liquidated over the past 24 hours.
• U.S. stocks traded near record highs ahead of the weekly jobless claims report, with consensus estimates expecting claims to rise to 206,000.
• Oil prices continued to drop on growing optimism surrounding a potential U.S.-Iran peace agreement.

The cryptocurrency rally halted on Thursday with Bitcoin (BTC) dropping below $81,000, while U.S. equities were on track to record fresh highs in early morning trade ahead of the initial jobless claims report due later in the day. Oil prices also continued to drop on hopes of a peace deal between the U.S. and Iran. 

Bitcoin’s price fell 1.5% in the last 24 hours to around $80,800, still holding onto gains of around 6.3% for the week. Retail sentiment around the apex cryptocurrency on Stocktwits trended in ‘bullish’ territory over the past day, accompanied by ‘high’ levels of chatter. 

The overall cryptocurrency market dropped 1.4% to around $2.76 trillion. CoinGlass data showed over $420 million in crypto bets liquidated in the last 24 hours, with a near-even split between short and long positions.

Bitcoin Pulls Back After Three-Month High

Bitcoin’s decline followed a sharp rally earlier in the week that pushed the asset above $82,000 for the first time in three months. Dogecoin (DOGE) and Ethereum (ETH) led gains among the top 10 cryptocurrencies by market capitalization. Dogecoin’s price dropped 4.4% to around $0.11 in the last 24 hours, while Ethereum’s price slipped 3.6% but held above $2,300. 

On Stocktwits, retail sentiment around Dogecoin fell to ‘neutral’ from ‘bullish’ territory over the past day, while chatter remained at ‘high’ levels. Sentiment around Ethereum continued to trend in the ‘neutral’ zone, accompanied by ‘normal’ levels of chatter.

Ripple (XRP) also took a bigger hit than Bitcoin, with XRP’s price dropping 2.5% in the last 24 hours to around $1.41. It saw sentiment trend in ‘bearish’ territory over the past day.

Solana (SOL) and Binance Coin (BNB) outperformed Bitcoin among the crypto majors. Solana’s price edged 0.3% lower in the past 24 hours, keeping above $88, while BNB’s price edged 0.2% higher, holding above $645.

US Stocks Near Record Highs Ahead of Jobless Claims Data

The crypto pullback came as global stock markets ripped to fresh records on U.S.-Iran ceasefire hopes, but the U.S. equities market edged higher in pre-market trade after the S&P 500 touched new highs on Wednesday. 

The SPDR S&P 500 ETF (SPY) was up 0.07%, the SPDR Dow Jones Industrial Average ETF (DIA) slipped 0.04%, and the Nasdaq-100 tracking Invesco QQQ Trust (QQQ) traded flat. Retail sentiment around SPY on Stocktwits trended in ‘bullish’ territory over the past day. 

In addition to developments between the U.S. and Iran, the market is also watching for the latest weekly jobless claims report. Economists are expecting initial jobless claims to rise to 206,000 from 189,000 over the past week amid the onset of AI-led layoffs, including a 14% reduction in the workforce at Coinbase (COIN). 

Crude Oil Prices Extend Decline On U.S.-Iran Ceasefire Optimism

Oil prices continued to retreat after reports suggested the U.S. and Iran are working toward a proposal to end the nearly 10-week conflict in the Middle East.

West Texas Intermediate (WTI) crude oil fell nearly 4% on the day to around $92.50 per barrel, while Brent crude oil was down over 3% at around $98.75 per barrel. The United States Oil Fund (USO) dipped 2.75% in pre-market trade. Retail sentiment on Stocktwits around the ETF trended in ‘neutral’ territory over the past day, and chatter fell to ‘low’ from ‘normal’ levels. 

Read also: Billionaire Reid Hoffman Says Crypto Is ‘Obvious Answer’ For AI Identity – Hasn’t Sold Any Bitcoin Since 2014

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