Market Drops Ahead of Data Week, Bitcoin Nears $58K

The decline in Bitcoin (BTC) comes as traders record widespread selling ahead of a decisive week in which to take positions.

BTC is down 4.8% in the last 24 hours and is currently trading just above $58,500, while Ether (ETH) is down 3.5%.

US-listed exchange-traded funds (ETFs) saw major outflows on Friday. BTC ETFs saw outflows of $89 million, while ETH ETFs saw outflows of $15.7 million, according to market data.

Solana’s SOL token and toncoin (TON) led the losses among the majors with a 7% drop. BNB Chain’s BNB fell 3%, dogecoin (DOGE) fell 6%, while Cardano’s ADA and XRP fell 5%.

Aptos (APT), Arbitrum (ARB) and The Sandbox’s SAND, which will be unlocked during the week, fell by up to 7%. More than $120 million worth of tokens will be unlocked cumulatively this week.

Some market observers have warned that BTC will fall further in the coming weeks, citing technical weakness, but pointed to upcoming traditional market announcements that could provide upward pressure.

“Cryptocurrency prices will remain range-bound with a bias towards the weaker side,” said Augustine Fan, head of insights at SOFA.org. “However, technical concerns and sentiment in the market remain, with on-chain cost models, MVRV models, and the Jackson Hole indicator all pointing to a possible shakeout.”

“Crypto markets lack solid ground and are susceptible to ongoing position reversals. We have continued to see ETF inflows, albeit subdued, for BTC and ETH over the past few sessions.”

Both the UK and US are due to release their July Consumer Price Index (CPI) readings on Wednesday. Australia’s consumer confidence, which measures sentiment around family finances, and Japan’s Producer Price Index (PPI), a measure of price developments in goods traded in the corporate sector, are also due on Tuesday.

Retail giants Alibaba Group and Walmart are set to report their earnings on Thursday, while Hong Kong and Taiwan are set to report their updated gross domestic product (GDP) reports on Friday.