Cryptocurrency Market Overview
📍 Today, TradFi completely disrupted the promising rebound in the cryptocurrency market. Throughout the week, there has been a consistent inflow of funds into Bitcoin ETFs alongside active selling from North America across the entire market. These seem like contradictory phenomena, but it appears there are sellers who need to offload their coins at current prices, unrelated to ETFs. These sellers leverage the liquidity-rich CME, which then reflects on the spot market.
This multi-layered explanation points to a strange market behavior that contradicts current triggers and news. The predominance of selling from 15:30 to 23:30 every day, except yesterday (due to positive US statistics and labor market data), suggests something unusual is happening.
ENS, amid the prolonged correction in ETH, appears overbought. One could say the "glass is half full," and if the price consolidates above $30, we could see a sustained rally. There is no visible correction in ENS yet.
TradFi
Consumer spending inflation came in below forecasts. However, the Chicago industrial index was so much worse than expected that it triggered a sell-off in the S&P.
✔️ News
Anyone trading meme-coins on #DEXs has undoubtedly noticed the buzz around political meme-coins. I've been observing tokens like #FreeTrump and its variations on #Solana and BASE, showing 100-200% growth within a few hours. This sector is highly sensitive to various hypes, with meme-coins emerging from any significant hype.
✔️ Base Scenario
ETH still has room to fall, but BTC has reached liquidity-rich levels, suggesting a rebound is imminent.
I'm optimistic about the weekend, attributing the current decline to end-of-month profit-taking.
