The highly volatile moves following the approval of the first spot Bitcoin ETFs in the US continued over the last 24 hours, with a massive decline to below $41,600.
Altcoins have suffered just as badly, with SOL, ADA, AVAX and others falling by more than 5-6% over the same period.
BTC’s volatility returns
Bitcoin and the entire cryptocurrency industry had a very eventful week, with the US Securities and Exchange Commission (SEC) expected to approve the country's first spot BTC ETFs. While that actually happened on Wednesday, it wasn't without a number of problems, including a hacker attack the day before with fake news, deleted and republished statements, and controversial words from the agency's chairman – Gary Gensler.
Of course, this all led to increased volatility and several massive price moves on the part of BTC. After the ETFs hit U.S. markets on Thursday, the asset initially rose to a 21-month high of over $49,000 before plunging three grand within minutes.
The situation was less volatile on Friday, but only during Asian and European trading hours. As US trading hours neared a close, the key digital asset fell below $41,600 for the second time since the start of 2024.
It has now gained some ground and is now at just under $43,000. However, its market cap has fallen to $843 billion, as has its dominance – currently 50% at CMC. The metric had risen to over 53% earlier this week.
BTCUSD. Source: TradingView
Alts See Red
Although most altcoins are currently in the red, some have suffered less than others. Such is the case with Ethereum, which fell a more modest 2.6% to $2,550. Binance Coin, Ripple, Dogecoin and Toncoin are also down less than 5%.
At the same time, assets such as SOL, ADA, AVAX, MATIC, BCH, DOT and ATOM have plunged by more than 5% and in the case of BCH by up to 11%.
The total crypto market cap lost $80 billion in a day and is down under $1.7 trillion at CMC.
Overview of the cryptocurrency market. Source: Quantify Crypto
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Cryptocurrency charts from TradingView.
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