BTC and the broader cryptocurrency market experienced a sell-off over the weekend, with BTC trading just above $58,500, down 4.8% in the last 24 hours.
US-listed exchange-traded funds (ETFs) that track these assets saw outflows on Friday, with BTC ETFs seeing $89 million in outflows and ETH ETFs seeing $15.7 million in outflows.
Bitcoin’s {{BTC}} decline sparked a broader sell-off in the cryptocurrency market over the weekend, with some investors looking for clues to position themselves ahead of a busy week.
BTC was down 4.8% in the past 24 hours, trading just above $58,500 in Asian morning hours on Monday, CoinDesk Indexes data shows, while the broader crypto market tracked by the CoinDesk 20 (CD20) was down 5.2%. Ether {{ETH}} lost 3.5%.
US-listed exchange-traded funds (ETFs) that track assets saw outflows on Friday. According to market data, BTC ETFs saw outflows of $89 million, while ETH ETFs saw outflows of $15.7 million.
Solana’s SOL and toncoin (TON) led the majors in losses with a 7% drop. BNB Chain’s BNB fell 3%, dogecoin {{DOGE}} fell 6%, and Cardano’s ADA and xrp (XRP) fell 5%.
Elsewhere, tokens of blockchains Aptos (APT), Arbitrum (ARB) and metaverse The Sandbox’s SAND are down as much as 7% ahead of next week’s unlocks, which will see a total of more than $120 million worth of tokens released onto the open market, data shows. Those tokens belong to the team and early investors.
Upcoming major token unlocks. (TokenUnlocks)
Some market observers have warned that BTC could fall further in the coming weeks, citing technical weakness, while upcoming traditional market data could add upward pressure.
“Crypto prices are likely to range-bound with a bias toward the weaker side,” Augustine Fan, head of insights at SOFA.org, told CoinDesk in a Telegram message. “However, technical damage and sentiment drag continue, and on-chain cost models and MVRV models suggest more potential shakeouts ahead of Jackson Hole.”
“Crypto markets suffer from a lack of a clear anchor and are susceptible to constant position adjustments. We continue to see weak ETF inflows for BTC and ETH over the past few sessions,” Fan added.
Both the UK and US will publish their July Consumer Price Index (CPI) readings on Wednesday. Australia’s consumer confidence, which tracks sentiment around family finances, and Japan’s Producer Price Index (PPI), which measures price developments for goods traded in the corporate sector, are due on Tuesday.
Later in the week, retail giants Alibaba Group and Walmart are due to report earnings on Thursday, while Hong Kong and Taiwan are due to release updated gross domestic product (GDP) data on Friday.
Traditional market events tend to move crypto prices as they reveal spending behavior and the health of the overall economy. Positive releases tend to push prices upward as investors are expected to bet more on riskier assets like tech stocks or cryptocurrencies, while a lack of earnings or data tends to push assets down as investors turn to safer bets.