Bitcoin ETF

Bitcoin

Trillion

With a 2% decline in the global market cap, today marks a slow day for the crypto industry. As of now, the overall crypto market cap has declined to $2.55 Trillion after surging to $2.63 Trillion earlier. Moreover, most cryptocurrencies are stained in red in the heatmap, confirming the market fall.
In the last 24 hours, <a href="https://coingape.com/price/bitcoin/" rel="noopener noreferrer nofollow">Bitcoin price</a> has declined by 3%, <a href="https://coingape.com/price/ethereum/" rel="noopener noreferrer nofollow">Ethereum price</a> lost 3% of its gains despite the overflowed demand for the Ethereum ETF, and the rest following the same. So, what was behind this fall? Let us discuss that in this blog.
<h2 id="why-was-the-crypto-market-down-today">Why Was the Crypto Market Down Today?</h2>
After the bullish market conditions in March, the crypto market went for a downfall until the recovery a few days ago. The market sentiments have also shifted to greed from neutral on the <a href="https://coingape.com/blog/what-is-crypto-fear-and-greed-index-how-does-it-work/" rel="noopener noreferrer nofollow">fear and greed index</a>, but the drop pierced through the bullish possibilities.
Mainly there were two reasons behind this drop; Mt Gox’s Bitcoin transfer and the drop in the Bitcoin ETF Inflows. Let us look into that.
<h3 id="mt-gox-transferred-9-billion-worth-of-btc">Mt Gox Transferred $9 billion worth of BTC</h3>
After almost 10 ten years of shutdown,<a href="https://coingape.com/mt-gox-denies-10b-bitcoin-bch-selloff-for-repayment/" target="_blank" rel="noopener noreferrer nofollow"> Mt Gox</a>, a popular crypto exchange of that time, made a transfer of 141,686 BTC ($9.3 billion worth of BTC) to three unknown wallets. This transfer is an attempt to return to its investors who lost their funds during the 2014 hack. However, this $9 Billion worth of BTC was a huge quantity, causing panic among crypto investors instead of relief over the transfers.
<blockquote>
 Today, <a rel="noopener noreferrer nofollow" href="https://twitter.com/hashtag/MtGox?src=hash&amp;ref_src=twsrc%5Etfw">#MtGox</a> moved all 141,686 <a rel="noopener noreferrer nofollow" href="https://twitter.com/search?q=%24BTC&amp;src=ctag&amp;ref_src=twsrc%5Etfw">$BTC</a>($9.63B) to 3 new wallets and all 142,846 <a rel="noopener noreferrer nofollow" href="https://twitter.com/search?q=%24BCH&amp;src=ctag&amp;ref_src=twsrc%5Etfw">$BCH</a>($66.4M) to a new wallet.
 These transfers are in preparation for repayments.
 The repayment deadline is Oct 31, 2024.<a rel="noopener noreferrer nofollow" href="https://t.co/amB6lnQXtf">https://t.co/amB6lnQXtf</a>
 New wallets:<a rel="noopener noreferrer nofollow" href="https://t.co/Lw9fpadxEj">https://t.co/Lw9fpadxEj</a>… <a rel="noopener noreferrer nofollow" href="https://t.co/mX5CZrhYvH">pic.twitter.com/mX5CZrhYvH</a>
 — Lookonchain (@lookonchain) <a rel="noopener noreferrer nofollow" href="https://twitter.com/lookonchain/status/1795479113568051484?ref_src=twsrc%5Etfw">May 28, 2024</a>
</blockquote>
The transfer happened in 13 parts, with their destination being the three anonymous addresses. The transactions ranged from $3 to $2.2 billion worth of BTC, dropping the BTC price to $67,918.13 from the $70K peak, causing overall selling pressure in the crypto market.
Also, Mt Gox became the 11th largest BCH crypto whale address as one of its wallets moved 142,846 BCH tokens (worth $69.7 Million) to an unmarked address.
<h3 id="bitcoin-etf-inflows-turned-stationary">Bitcoin ETF Inflows Turned Stationary</h3>
Bitcoin ETF comes stationary after witnessing a huge demand earlier in the month. As of now, the BTC ETF inflow rate is restricted at $13.68 billion for the third consecutive day, slowing the market growth. This comes after breaking the ten-day record of surging ETF inflows data till the 25th when the net recorded inflows were $252 million. It indicates the investor’s growing concerns over the short-term gains in the crypto market.
<blockquote>
 The U.S.-based Bitcoin spot ETFs saw the highest net inflow in the past week since mid-March. <a rel="noopener noreferrer nofollow" href="https://t.co/Z1yJIkQsyB">pic.twitter.com/Z1yJIkQsyB</a>
 — Mads Eberhardt (@MadsEberhardt) <a rel="noopener noreferrer nofollow" href="https://twitter.com/MadsEberhardt/status/1795063454388138287?ref_src=twsrc%5Etfw">May 27, 2024</a>
</blockquote>
However, the investors are still bullish despite the crypto market fall, and the <a href="https://coingape.com/education/ethereum-etf-approved-everything-you-need-to-know/" rel="noopener noreferrer nofollow">Ethereum ETF approval</a> plays the most significant role. With the discussion over the <a href="https://coingape.com/solana-next-after-ethereum-etf-approval-matrixport-co-founder/" rel="noopener noreferrer nofollow">upcoming ETF projects</a>, the traders are eyeing the altcoin rally with the anticipation of an early bull run.
Continue Reading <a href="https://coingape.com/trending/top-cryptos-to-buy-under-2-to-make-millions/" rel="noopener noreferrer nofollow">Top Cryptos to Buy Under $2 To Make Millions</a>
The post <a href="https://coingape.com/trending/reasons-why-crypto-market-declined-today/" rel="noopener noreferrer nofollow">Reasons Why Crypto Market Declined Today</a> appeared first on <a href="https://coingape.com" rel="noopener noreferrer nofollow">CoinGape</a>.

Reasons Why Crypto Market Declined Today

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