Bitcoin Market Trends: Bitcoin Slumps Despite ETF Inflows
Wednesday, Bitcoin (BTC) is down 3%, hovering at $93,700, another sharp decline. Bitcoin fell despite a surge in investor interest in Bitcoin exchange-traded funds (ETFs). Inflows into these ETFs were $52 million on Tuesday, bringing the weekly total to $1.04 billion. The contrast highlights the gap between corporate consumer interest in Bitcoin-related products and overall market sentiment.
Source: CoinGecko
Altcoin market resilience: Exchange tokens and XRP lead the way
The altcoin market has been inconsistent amid a larger market sell-off. Exchange tokens such as Bitget Token (BGB) and Binance Coin (BNB) have shown strong strength due to increasing activity on the Bitget and Binance platforms. Ripple’s recent alliance with Chainlink has helped XRP stabilize at $2.3. The goal of this collaboration is to improve cross-border payment solutions and DeFi adoption through the integration of decentralized oracles.
Ripple (XRP)
Ripple The company showed resilience by holding on to support at $2.3 in the face of selling pressure. Ripple’s relationship with Chainlink highlights its potential in DeFi and international payments. However, the $2.5 resistance level remains a key hurdle for the bullish momentum.
Source: CoinGecko
Litecoin (LTC)
Litecoin Shares fell 8% to $100 after failing to sustain gains near $115 earlier this week. While long-term halving narratives continue to support investor optimism, weak on-chain activity has contributed to the downturn. Maintaining support at $100 will be crucial to prevent further declines towards $85.
Avalanche(AVAX)
Avax Shares fell 7% to $37 after a failed attempt above $40. The coin remains vulnerable as the broader market correction impacts altcoin performance.
Daily Chart: Memecoin faces serious losses
Memecoin suffered significant losses as traders took action to reduce risk due to market uncertainty. The market value of the industry fell by 14.7%, shrinking by US$16 billion, to close at US$110 billion. High-profile tokens such as Bonk (BONK) and ai16z led the decline, with losses of 9.2% and 12% respectively. Shiba Inu (SHIB) and Pepe (PEPE) also fell, falling 4.6% and 5.8% respectively. Despite its previous solid performance, Pudgy Penguins (PENGU) fell 10.3%. Traders are moving away from riskier assets as worries about tightening monetary policy grow, which is reflected in the sell-off.
Source: CoinGecko
Bitfinex moves derivatives operations to El Salvador
Bitfinex Derivatives has announced a relocation to El Salvador to take advantage of the country’s favorable cryptocurrency regulations. After receiving its Digital Asset Service Provider (DASP) license, Bitfinex is able to expand its offering in a space where Bitcoin is considered legal cash. Users who access Bitfinex derivatives services will be required to abide by the updated terms of service of the recently established Bitfinex Derivatives El Salvador SA de CV. This change shows that El Salvador is becoming a hub of innovation in the cryptocurrency space.
South Korea’s Financial Services Commission (FSC) intends to lift its ban on institutional cryptocurrency trading. This policy shift will allow local institutions to enter the cryptocurrency market, starting with non-profit organizations. The FSC is also working with the Digital Assets Commission to develop a clear regulatory framework for stablecoins, token listings and cryptocurrency exchanges. Pioneers were consistent with these reforms.
According to Fidelity Digital Assets, the creation of Bitcoin reserves by nation-states, central banks, and sovereign wealth funds will be the main driver of the cryptocurrency’s explosive growth by 2025. Two successful examples of Bitcoin integration. Fidelity also hinted that countries may secretly reserve Bitcoin to take advantage of its long-term value. In addition to nation-state adoption, the report predicts significant growth in structured digital asset products and tokenization.
While Bitcoin and several altcoins are facing bearish pressure, the market is seeing strong momentum in exchange tokens and assets tied to innovative collaborations. National acceptance and institutional interest in Bitcoin ETFs indicate long-term promise. Nonetheless, macroeconomic factors continue to have an impact on the larger market, highlighting the need for prudent trading strategies.
