New York, NY – Bitcoin (BTC) experienced a dip of nearly 4%, dropping below the $62,500 mark during the early hours of the Asia business day. Meanwhile, Ether (ETH) managed to hold its ground above $3,000. The CoinDesk 20, a benchmark for the world’s largest and most liquid digital assets, saw a 4% decrease, currently trading at 2,139.
The shift in CoinDesk’s Indices Bitcoin Trend Indicator (BTI) from bullish to neutral signifies a potential weakening of upside momentum. The BTI, designed to provide daily signals on bitcoin’s price trends, has been pivotal in monitoring the digital currency’s movement since October 2023. Initial reports suggesting major fund managers were in discussions with the Securities and Exchange Commission (SEC) regarding the launch of spot bitcoin exchange-traded funds (ETF) played a role in the BTI’s positive trend.
Furthermore, Ethereum’s trend indicator has also shifted to a neutral position. Market data reveals that there were no outflows from bitcoin ETFs other than GBTC on April 15. Last week, total outflows hit negative $82.5 million, with a significant portion stemming from GBTC.
Matteo Greco, a Research Analyst at Fineqia, noted that despite the recent downturn, trading volumes for BTC Spot ETFs remained strong. Weekly trading volume reached approximately $16.2 billion, averaging at $3.2 billion per day. The cumulative trading volume since inception stands at around $212 billion.
A recent report highlights that despite the impressive performance in equity and cryptocurrency markets, there was continued contraction in second-hand watch prices during the first quarter. The report cites high inventory levels as a driving factor behind the ongoing decline in market prices. Analysts remain cautious about predicting a swift recovery in the secondary watch market.
In summary, the cryptocurrency market faces fluctuations as various indicators shift, impacting investor sentiment and trading volumes. Analyzing market trends and external factors remains crucial in navigating the unpredictable nature of digital assets like Bitcoin and Ethereum.