After the market crashed in the last few days, we saw Bitcoin plummet to $50k and Ethereum to below $2.2k. However, the market started recovering in the last 24 hours, and Bitcoin is now above $55k while ETH is above $2.5k.
Some other top altcoins such as DOT or SOL also rebounded nicely, with both up double-digits.
So, why is the crypto market pumping today? Well, there were a lot of traders who started to accumulate at some psychological areas, and this pumped the prices. For BTC, that area was around $50k, and for Ethereum, around $2.1-2.2k.
Moreover, the Japanese stock market has surged 11.90% today, following yesterday’s dramatic 12% decline. Meanwhile, U.S. stock futures are showing positive momentum, with a 1.5% increase, indicating potential optimism in the broader financial markets.
ETF Flows and Market Data
The Ethereum spot ETF market saw significant activity on August 5. While Grayscale’s ETHE ETF experienced an outflow of $46.8384 million, this was more than offset by inflows into other funds. BlackRock’s ETHA ETF led the charge with a substantial inflow of $47.0857 million, followed by VanEck’s ETHV ETF, which saw $16.6247 million in new investments. The total net inflow across these Ethereum spot ETFs amounted to an impressive $48.7264 million.
As we look ahead to upcoming U.S. economic data, the job market is taking center stage. This Thursday’s release of initial jobless claims, while not typically a major market mover, could play a role in shaping market sentiment. Traders and investors will be closely watching these figures for any signs of change in the labor market.
The recent market downturn has led to significant liquidations in the crypto space. Estimates suggest that between $7-9 billion worth of positions were liquidated during the crash If accurate, this would mark the largest liquidation event since May 19, 2021. It’s worth noting, however, that exchanges don’t disclose full liquidation data, so these figures are based on available information and market analysis.
Doge2014 raises 450K in days celebrating Dogecoin. Make potentially big profits and get in on exclusive airdrop!
Show more +Given the magnitude of this recent crash, the crypto market is likely to need some time to fully recover. Traders should expect a period of days or possibly weeks for the market to stabilize and potentially regain lost ground. However, looking further ahead, the outlook for the remainder of 2024 appears more positive, with many crypto traders anticipating improved market conditions.
Follow us on X (Twitter), CoinMarketCap and Binance Square for more daily crypto updates.
Get all our future calls by joining our FREE Telegram group.
We recommend eToro
Wide range of assets: cryptocurrencies alongside other investment products such as stocks and ETFs.
Copy trading: allows users to copy the trades of leading traders, for free.
User-friendly: eToro’s web-based platform and mobile app are user-friendly and easy to navigate.
