Bitcoin and Ethereum ETFs Experience Pre-market Crash
In the early hours of Monday, Bitcoin and Ethereum-linked ETFs experienced a sharp decline, reflecting global market trends.
According to reports, Grayscale Bitcoin Trust saw a decrease of 15.62%, while Fidelity Wise Origin Bitcoin Fund dropped by 15.73%. Bitwise Bitcoin ETF traded 15.47% lower, and iShares Bitcoin Trust was down 15.42%.
Grayscale Ethereum Trust witnessed a 23.01% dip, and its spinoff Grayscale Ethereum Mini Trust fell by 22.26%. iShares Ethereum Trust saw a decline of 22.50%, and Bitwise Ethereum ETF also dropped by 22.91%.
The downturn comes after Bitcoin fell by 8.84% and Ethereum dropped by 13.61%. Various factors, including geopolitical tensions in the Middle East, delays in U.S. Federal Reserve rate cuts, significant long liquidations, and negative flows in Bitcoin and Ethereum ETFs, are said to have contributed to the market decline.
The cryptocurrency market has been volatile, with Bitcoin briefly falling below $50,000 for the first time in nearly six months before recovering. This recent decline follows a month of significant events in July, including former President Donald Trump’s remarks at a Bitcoin conference, where he expressed plans to dismiss SEC Chair Gary Gensler and support stablecoins.
The market’s fluctuations highlight the ongoing uncertainty in the cryptocurrency space. Experts suggest that the market may realign by October, but for now, investors are navigating through turbulent waters.
It is essential for investors to stay informed and cautious during these times of market instability. As the cryptocurrency market continues to evolve, it is crucial to monitor developments closely and make informed decisions based on thorough research and analysis.
