Major cryptocurrencies faced a bearish start to the week as concerns about significant bitcoin ($BTC) sell-offs lingered, prompting investors to reduce exposure in anticipation of potential price declines.
The CoinDesk 20, a comprehensive index of the most actively traded tokens, recorded a 2.86% decline in the past 24 hours.
Leading the losses among major cryptocurrencies, Solana’s $SOL and Cardano’s $ADA both experienced a 5% drop in the last 24 hours. On the other hand, BNB Chain’s $BNB remained relatively stable, with little change, driven by demand for launchpads requiring the token on the Binance crypto exchange. Dogecoin ($DOGE) initially defied the broader market weakness amid speculation about adoption in an upcoming feature on the social application X but retraced in the last 6 hours.
Bitcoin, the largest cryptocurrency by market value, broke below the $41,000 support level early Monday. Traders anticipate prices to potentially dip as low as $38,000 in the coming weeks, which could result in additional losses across other cryptocurrencies.
Recent downward pressure on bitcoin is attributed to sales linked to Grayscale’s GBTC bitcoin exchange-traded fund (ETF), according to analysts, including Bloomberg’s Eric Balchunas. Verified wallets associated with Grayscale, identified by analysis firm Arkham, revealed that the fund transferred over $400 million worth of bitcoin to custodian Coinbase Prime on Thursday—a move seen as a potential step toward an eventual sale.
Despite this, newly approved bitcoin ETFs are experiencing net inflows. BlackRock’s IBIT and Fidelity’s FBTC ETFs surpassed $1 billion last week, according to data from CoinGlass, indicating buying pressure in the market.
