Jerome Powell

Bitcoin ETF

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You can also read this news on COINTURK NEWS: <a href="https://en.coin-turk.com/bitcoin-experiences-significant-price-drop/" data-wpel-link="internal">Bitcoin Experiences Significant Price Drop</a> 
<a href="https://coin-turk.com/bitcoin-fiyati-icin-bernstein-analistlerinden-net-aciklama-rekor-seviyeler-geliyor" data-wpel-link="internal">Bitcoin</a> (<a href="https://coin-turk.com/unlu-analist-bitcoin-yatirimcilarini-bu-senaryoya-karsi-uyardi" data-wpel-link="internal">BTC</a>) today recorded its most significant single-day drop since November 2022, falling over 8% in the last 24 hours to below the $62,000 level. This sharp decline follows the largest cryptocurrency reaching an all-time high of over $73,500 last week, corresponding to a 15% pullback from this peak. Data from the FTX exchange shows that this is the first time since the crash that there has been such a significant daily drop. 
<h2 style="text-align: justify" id="strong-etf-outflows-and-market-factors-cause-decline-strong">ETF Outflows and Market Factors Cause Decline</h2> 
The drop in <a href="https://en.coin-turk.com/famous-fund-manager-expects-record-breaking-rise-in-bitcoin/" data-wpel-link="internal">Bitcoin</a>‘s price is linked to various factors, including significant outflows from spot exchange-traded funds (ETFs) listed in the US. Temporary data from investment firm Farside shows a net outflow of $326 million from spot Bitcoin ETFs on March 19, marking the highest daily net outflow on record. Grayscale’s spot Bitcoin ETF saw a record outflow of $643 million on March 18, contributing to the downward pressure on Bitcoin’s price. 
<img loading="lazy" loading="lazy" decoding="async" class="aligncenter size-full wp-image-330527" src="https://coin-turk.com/wp-content/uploads/2024/03/Bitcoin-BTC-Dusus.png" alt="" width="2112" height="960"> 
According to trader and economist Alex Kruger, reasons for the market crash include excessive leverage usage, a decline in <a href="https://en.coin-turk.com/ethereum-price-undergoes-correction-as-support-levels-are-tested/" data-wpel-link="internal">Ethereum</a>‘s (ETH) price, negative spot Bitcoin ETF entries, and speculative activity surrounding altcoins like <a href="https://coin-turk.com/unlu-analist-populer-altcoinde-pozisyonunu-bozdu-neler-oluyor" data-wpel-link="internal">Solana</a> (<a href="https://en.coin-turk.com/solana-the-struggles-and-future-of-the-popular-smart-contract-platform/" data-wpel-link="internal">SOL</a>). Kruger emphasized the importance of leverage in exacerbating market movements and highlighted the impact of ETH’s performance on investor sentiment. 
ETH, the second-largest cryptocurrency by market value, has been trending downward since reaching its recent peak of around $4,000 following the successful Dencun update last week. The primary factor fueling this trend is the reduced likelihood of the US Securities and Exchange Commission (SEC) approving a spot Ethereum ETF by May. 
Moreover, at the beginning of this month, an overheated cryptocurrency market characterized by excessive leverage in bullish positions was signaling a potential correction in prices, raising alarms for investors. 
<h2 style="text-align: justify" id="strong-market-outlook-and-fed-interest-rate-decision-strong">Market Outlook and Fed Interest Rate Decision</h2> 
Investors’ attention is currently turned to the Fed interest rate decision to be announced today and the statements by Fed Chairman Jerome Powell following the decision. These developments will provide various insights into the Fed’s stance on interest rates and inflation. Greg Magadini, Director of Derivatives Products at Amberdata, underlined that the Fed’s response to a strong economy and higher-than-expected inflation will particularly affect market sentiment for risky assets like cryptocurrencies. 
With US consumer and producer price indices for February coming in above expectations, recent movements in the US dollar index and US Treasury yields have impacted the appeal of risky assets. Higher inflation and hawkish Fed expectations have diminished investors’ interest in emerging technologies like cryptocurrencies. Market participants are anticipating stern statements from Powell and other Fed officials, with expectations that cryptocurrency prices will be negatively affected by these announcements. 
<h5>The post first appeared on COINTURK NEWS: <a href="https://en.coin-turk.com/bitcoin-experiences-significant-price-drop/" data-wpel-link="internal">Bitcoin Experiences Significant Price Drop</a></h5>

Bitcoin Experiences Significant Price Drop

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