Crypto Market Update: BTC Price at $84K, Tether Surpasses Canada in US Treasuries
The cryptocurrency market saw a 1.7% increase on Friday, attracting $47 billion despite Bitcoin’s drop below $84,000. Investor sentiment is cautious, focusing on lower-cap altcoins like SUI and Tron, while Tether has surpassed Canada in US Treasury holdings. Key developments include Eric Trump’s appointment at Metaplanet and the launch of a SPAC by Trump Media targeting cryptocurrency assets.
On Friday, the cryptocurrency market experienced a 1.7% increase, attracting $47 billion in inflows, despite Bitcoin’s price falling below $84,000. Investors are employing support strategies to mitigate major liquidations. Top altcoins such as Ethereum (ETH), XRP, and Solana (SOL) reported losses, indicating a shift toward lower-cap assets amidst a broader market rotation.
Bitcoin’s price declined below $84,000 as funds flowed into altcoins. However, Bitcoin ETFs recorded an outflow of $165 million on Thursday, marking a streak of four consecutive days of outflows since last Friday. During this period, BTC ETFs have amassed over $680 million, with recent patterns suggesting that corporate investors are strategically accumulating rather than profiting from their investments.
Despite an overall market capitalization increase to $2.79 trillion, investor sentiment remains cautious, with the Fear & Greed Index indicating fear at 31. Bitcoin’s market dominance persists while the Altcoin Season Index at 21/100 reflects continued favor for Bitcoin over alternative assets. Tron and SUI emerged as leaders among the top-20 assets, recording 3% gains respectively.
Despite the market’s modest gains, significant altcoins exhibit limited upward momentum. Ethereum is trading at $1,966.41, down by 1.24% within a day but showing a weekly gain of 3.36%. XRP has experienced a decline of 4.13% to $2.38, while SOL shows a daily drop of 3.37% at $126.45. Lower-cap altcoins, however, are capturing the day’s gains as traders pivot towards smaller, promising assets amplified by recent regulatory advancements.
In notable news, Tether (USDT) has surpassed Canada as the seventh-largest holder of US Treasury bills, purchasing $33.1 billion in 2024, according to reports from US Treasury and Tether’s audits. This development coincides with remarks from US President Trump supporting stablecoin regulations.
Additionally, Tokyo-based Metaplanet has appointed Eric Trump to its Strategic Board of Advisors, aiming to enhance its Bitcoin-related strategies under his guidance in finance and blockchain advocacy. In another development, Trump Media executives have launched a SPAC, aiming to acquire a cryptocurrency or data security firm, with plans to raise $179 million through an IPO, as outlined in a filing with the SEC.
The cryptocurrency market demonstrates notable fluctuations as Bitcoin struggles below the $84,000 mark amid significant outflows from Bitcoin ETFs. Investor sentiment appears reserved, with a move towards lower-cap altcoins, particularly in light of recent developments surrounding Tether’s growing influence in US Treasury holdings and the implications of stablecoin regulations. Overall, ongoing strategic moves by key players in the crypto sphere signal potential shifts in market dynamics.
Original Source: www.fxstreet.com
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