U.Today – Bearish sentiment has prevailed in the cryptocurrency market over the past week. The total market capitalization, according to CMC, is currently at $2.04 trillion after a 0.39% drop over the past day. The community is concerned that the market cap is now getting closer to falling below the prestigious $2 trillion level.
(BTC), the largest cryptocurrency in the market in terms of market capitalization, is struggling at the moment. It is currently trading at $58,420 after a small increase of 0.77% over the past 24 hours. It has fallen by 9.41% over the past month as it failed to break through the next resistance levels. The bulls have been struggling to outperform the market while the bears control the narrative.
BTC price has remained stuck around the $58,000 range. Although it managed to break above the $63,000 level in mid-August, the prolonged period of consolidation seems to be taking over this brief rally. There has also been selling pressure on the coin in the recent past, and even Bitcoin-based investment products have struggled.
Huge outflows of digital asset investment products
According to research by CoinShares, cryptocurrency-based investment products saw significant outflows of $305 million over the past seven days. A broader bearish sentiment has been observed in the market following the release of stronger-than-expected economic data in the United States. This data has put paid to the chances of an interest rate cut in the near future. Bitcoin products were hit hard by this negative sentiment in the market.
There were around $319 million in Bitcoin outflows, which has further spread the negativity among traders and institutions. On the other hand, (ETH) also witnessed $5.7 million in outflows, putting an end to the hype around the recent launch of Ethereum spot ETFs. Overall, investors are staying on the sidelines as the bearish sentiment continues to prevail in the market.
This article was originally published on U.Today
