The crypto market stayed steady on Wednesday, with Bitcoin (BTC) recovering above $112,000 while several altcoins posted strong gains. CoinMarketCap’s altcoin season index climbed to nearly 60%, signaling that a new altcoin cycle may be underway.
Story Protocol’s IP token jumped above $10 after Heritage Distillery, a corporate adopter of altcoins for its treasury, refined its strategy to build IP reserves. Other tokens, including Mantle (MNT) and PUMP, recorded double-digit gains over 24 hours, reflecting capital rotation into more speculative assets.
Traders are eyeing tomorrow’s U.S. inflation data, which could set the tone for the next market move. Bitunix analysts said, “Moderate data could boost risk assets, while higher-than-expected inflation may strengthen the dollar and pressure BTC and ETH.” Key support levels are BTC $108,800 and ETH $4,250.
Derivatives and Market Insights
BTC futures open interest remained steady ahead of the CPI release. ETH, SOL, and HYPE saw OI rise over 2%, while XRP, SUI, ADA, and ENA experienced outflows. Annualized funding rates for major coins, excluding TRX and XLM, hover near 10%, suggesting a cautious bullish bias. CME BTC options OI reached $5.6 billion, while Deribit shows BTC and ETH puts trading at a premium, signaling downside caution.
Altcoins remain resilient despite mixed sentiment. MNT and Pyth (PYTH) led gains, rising 15% and 10%, while BTC consolidated near $112,500 after failing to break $124,000, a pattern often coinciding with altcoin season rotation.
