Key Points
- Major cryptocurrencies declined while select altcoins posted gains amid heightened market selling pressure.
- Upcoming U.S. economic reports may influence crypto volatility and interest rate expectations.
Selling pressure intensified as leading assets like Bitcoin (BTC) and Ethereum (ETH) moved lower, while several smaller tokens recorded notable gains.
The CMC20 Index, which tracks the top 20 digital assets, dropped 4% within 24 hours to 156, indicating broad market weakness.
Bitcoin briefly fell below the $75,000 level on Feb. 2, reinforcing signs of short-term selling dominance across the market.
Despite the downturn, Stable (STABLE), MYX Finance (MYX), and MemeCore (M) posted gains during the same period.
STABLE rose 17% over 24 hours to trade at $0.026, making it the strongest performer among the top 100 tokens.
The project is preparing for a mainnet upgrade to version 1.2.0 on Feb. 4, which includes changes to gas settlement and staking transparency.
MYX followed with a 10.5% daily increase to around $5.6, while MemeCore gained 6.5% to trade near $1.31.
Unlike STABLE, the gains in MYX and MemeCore were primarily attributed to increased trader interest rather than protocol upgrades.
US Economic Data and Market Sensitivity
The week begins with the January ISM Manufacturing PMI, a key indicator of activity within the U.S. factory sector.
Stronger-than-expected results could suggest persistent economic expansion and sustained inflationary pressure.
The December JOLTS Job Openings data, scheduled for Feb. 3, will provide insight into labor market demand.
Initial Jobless Claims data, arriving Feb. 5, will indicate whether layoffs are increasing and if employment conditions are softening.
The week concludes with the January Jobs Report, often viewed as the most comprehensive snapshot of U.S. economic strength.
These reports are closely watched by crypto market participants, as they inform future interest rate decisions by the U.S. Federal Reserve.
Market sentiment remains cautious, with total crypto market capitalization falling to approximately $3.55 trillion and indicators reflecting elevated fear.
Analysts have noted that recent market rebounds may be fragile, with heightened volatility likely to persist in the near term.
