Crypto Markets Steady Over Hopes Of U.S.-Russian Summit; Tether (USDT) Volume Soars

Bitcoin rose nearly 3% to $39,351, while Ethereum added 3.4%. Crypto market capitalization rose 0.4% to $1.87 trillion. Global equity and foreign exchange markets rallied on news that Russian President Vladimir Putin and his U.S. counterpart Joe Biden had agreed to a summit. The move comes after simmering tensions over a possible invasion of Ukraine had battered risk-driven assets over the last two weeks.

Fears of Russian invasion knock nearly $200 billion off crypto market

Trading volumes in Tether were about $36 billion over the past 24 hours, more than twice those seen by Bitcoin. High stablecoin demand- a growing trend seen this year- is usually indicative of bearish market sentiment.

But Solana bucked the trend among major currencies on Monday, rising 9.2% in the last 24 hours to $94.24. Trading volumes for the token jumped nearly 81%.

The currency had slumped  to five-month lows in January, with the dip attracting several potential buyers. Gains in most major currencies were largely muted on Monday.  Reports said a phishing attack on OpenSea stole “millions” in NFTs, which appeared to have dented some sentiment towards digital assets.

Devin Finzer, the chief executive of the NFT marketplace, said the hacker had at least $1.7 million worth of Ethereum in his wallet from selling some of the stolen assets.

Adding to fears of a crypto market cooldown, Huobi CEO Du Jun said that he did not expect a Bitcoin bull run until at least end-2024,  and that the currency was likely in the early stages of a bear market.

Jun’s comments come amid some market concerns over a “crypto winter,” which could see a prolonged downturn in prices this year. The market’s recent tumble from record highs has fueled speculation over such a trend.