Cryptocurrency Market Update

Bearish sentiment has prevailed on the cryptocurrency market throughout this past week. The total market cap, as per CMC, is currently $2.04 trillion after a 0.39% dip over the last day. The community is worried as the market cap now inches closer to going below the prestigious $2 trillion level.

Bitcoin Struggles

Bitcoin (BTC), the biggest crypto on the market in terms of market capitalization, is struggling during this time. It is currently trading at $58,420 after a minor 0.77% increase in the last 24 hours. However, it has dipped 9.41% over the past month as it failed to clear the next resistance levels. Bulls have been struggling to overcome the market while bears dominate the narrative.

The price of BTC has remained stuck around the $58,000 range. It managed to exceed the $63,000 level in mid-August, but an extended consolidation period seems to take over this brief rally. Recent selling pressure has affected the coin, and even Bitcoin-based investment products have been struggling.

Huge Outflows in Digital Asset Investment Products

According to CoinShares research, crypto-based investment products witnessed significant outflows of $305 million in the last seven days. A broader bearish sentiment has emerged in the market after the unveiling of stronger-than-expected economic data in the United States, ending the chances of an interest rate cut in the near future. Bitcoin products were hard hit by this negative sentiment.

There were around $319 million in outflows for Bitcoin, further spreading negativity among traders and institutions. Ethereum (ETH) also saw outflows of $5.7 million, ending the hype around the recent launch of Ethereum spot ETFs. Overall, investors are sitting on the sidelines as bearish sentiment continues to prevail in the market.

This article was originally published on U.Today