The crypto market capitalization gained 5%, touching the $1.95 trillion mark. Meanwhile, the total cryptocurrency market volume witnessed a near 16% rally to $72.23 billion.
The crypto market attracts buyers around crucial support levels following sharp declines within the past few days. Nevertheless, investors remain cautious over Ukraine and Russia crises. The news about an imminent war between these countries instilled fear among market players, weakening the digital financial space.
Top digital coins traded higher early on Tuesday, DeFi and NFTs tokens leading the pack. Avalanche and Solana gain 11% each. The upside price reaction had the global cryptocurrency market cap climbing by 5% to levels of $1.95 trillion. Moreover, the overall market volume noted a 16% surge to $72.23 billion.
India Updates
Nirmala Sitharaman, Finance Minister, stated that authorities had an ongoing discussion with RBI over CBDC and private crypto. The minister added that the parties would decide upon due deliberations. On 1 February, Sitharaman declared that the Reserve Bank of India would issue a Central Bank Digital currency or Digital Rupee in the upcoming financial year.
On Monday, RBI’s T Rabi Sankar stated that banning private crypto remains the country’s best option, echoing its tough stance on this asset class. Sankar told bankers that cryptocurrencies are gambling instruments.
Experts View
Mudrex executive Edu Patel said that trading volumes and the global cryptocurrency market cap rose over the previous 24 hours. Ethereum and Bitcoin trade higher today. Also, the market capitalization shows top alts are hovering in the green. He also said that the ongoing geopolitical tensions between Ukraine and Russia affect market sentiments, resulting in lows and highs.
Tech View
Algorand is an open-source and permissionless blockchain platform that witnessed increased recognition after El Salvador adopted it as its platform to build a blockchain infrastructure. Algorand focuses on solving blockchain issues like transaction speed, security, and scaling.
Its native coin ALGO saw rough movement in January, correcting from $1.85 peaks to $0.8. Meanwhile, a consolidation and brief bounce had the token attempting to overcome a resistance trend-line while sitting around a confluence zone with another .236 retracement resistance.
