Bitcoin remains stable as Ethereum and Dogecoin decline during stock market downturn; Analyst forecasts $4K target for ETH in the next 14 days
Bitcoin remained stable, while Ethereum experienced a decline on Wednesday amidst the stock market’s worst trading day since late 2022. The world’s leading cryptocurrency, Bitcoin, showed little change following a quick rebound to $67,000 that was later erased by sell-offs, resulting in a 5.7% drop this week.
Ethereum faced significant selling pressure despite the successful launch of spot ETFs in the U.S. stock market, validating earlier analyst predictions. Over $250 million in derivatives were liquidated in the past 24 hours, with Ethereum accounting for $82 million of the total liquidations. This sharp downturn led to a substantial decrease in futures Open Interest for both cryptocurrencies, with Ethereum witnessing a steeper 5.4% decline.
The sentiment in the market turned bearish as downside bets for Ethereum surged compared to bullish positions in the last 24 hours. The Cryptocurrency Fear & Greed Index indicated “Greed” at the time of reporting.
In the top gainers’ category over a 24-hour period, Flow (FLOW) led with a 9.14% increase, followed by Jupiter (JUP) and XRP (XRP) with gains of 4.45% and 3.67%, respectively. The global cryptocurrency market cap stood at $2.37 trillion, reflecting a 1.17% decrease in the last 24 hours.
The stock market witnessed a significant decline, with the S&P 500 dropping 2.31%, the Nasdaq Composite plummeting 3.64%, and the Dow Jones Industrial Average dipping 1.25%. This downturn followed substantial sell-offs in tech giants’ shares, including Alphabet Inc. and Tesla Inc., after their second-quarter earnings reports.
Renowned cryptocurrency researcher Ali Martinez emphasized the $66,000 support level as crucial for Bitcoin’s upward momentum towards new all-time highs. Another influential figure, Sheldon The Sniper, expressed optimism for Ethereum, foreseeing a price target of $4,000 in the coming week or two to test the resilience of long-term holders.
The market turmoil coincided with a broader sell-off in tech shares, contributing to the negative sentiment across various asset classes. The article originally appeared on Benzinga.com, providing insights into the cryptocurrency market’s recent movements without offering investment advice.
