Key Insights:
- It was a bearish Friday, with the broader crypto market declining for a fourth consecutive day.
- US inflation figures for May sent the crypto majors into freefall after inflation hit another 40-year high.
- Among the top ten, Binance Coin (BNB) faired better than most, falling by just 1.0%.
After a mixed Thursday session, the crypto market recoupled with the NASDAQ 100 to see deep red.
Cardano (ADA) reversed Vasil hard fork-driven gains from earlier in the week.
US inflation figures for May did the damage on Friday. The NASDAQ 100 tumbled by 3.52% in response to US inflation hitting a new 40-year high.
In May, the US annual rate of inflation accelerated from 8.3% to 8.6%. A modest decline in crude oil prices provided little comfort at the end of the week.
While the inverse correlation between bitcoin (BTC) and WTI Crude weakened, the correlation with the NASDAQ 100 strengthened on Friday. The correlation reflected investor sentiment towards inflation and Fed monetary policy ahead of next week’s FOMC meeting.
Crypto Market Cap Gives Up $60 Billion Before Steadying
After having avoided sub-$2,000 billion for a second consecutive day, the total crypto market cap slumped to a day low of $1,157 billion on Friday.
A $58 billion tumble came in response to the US inflation figures. A modest recovery to $1,16 billion levels was of little consolation late in the day.
From the top ten cryptos, ADA slid by 9.2%. BNB faired the best among the top ten, falling by just 1.2%.
BTC (-3.4%), DOGE (-5.0%), ETH (-7.1%), and XRP (-4.7%) all reacted to the inflation numbers.
From the top 100, Chainlink (LINK) was among the worst performers, tumbling by 13.3%.
MATIC (-6.3%) and GMT (-8.5%) also saw heavy losses alongside the broader market.
Several cryptos bucked the trend on Friday.
UNUS SED LEO (LEO) (+1.5%), Bitcoin SV (BSV) (+3.1%), and Huobi Token (HT) (+1.0%) found support.
Total Crypto Liquidations Spiked on Friday
Total liquidations spiked on Friday, as the broader market reacted to the latest US inflation numbers.
According to Coinglass, 24-hour liquidations stood at $298.31 million, up from $103.50 million on Thursday. More significantly, liquidations over 12 hours stood at $239.70 million, taking 24-hour liquidations to levels seen last week.
1-hour liquidations suggested a steadying in market conditions.
At the time of writing, total liquidations over one hour stood at $8.35 million.
Read More:Crypto Market Daily Highlights – June 10 – ADA, BNB, GMT, and MATIC
