Cryptocurrency markets saw a brief uptick over the weekend, with Bitcoin and Ethereum experiencing slight gains before retreating. Bitcoin managed to rise to approximately $70,434 but ultimately settled around $69,798, effectively offsetting any gains made for the week. Ethereum mirrored this trend, climbing to nearly $2,100 before falling back to about $2,080, reflecting a modest 1% increase over the past day.
However, it was Dogecoin, the ninth-largest cryptocurrency by market capitalization, that captured the spotlight with a significant surge. The original memecoin registered an impressive 11% rise in a 24-hour span, remaining the largest gainer among major cryptocurrencies during that period. At around 2 PM in New York, Dogecoin’s price hovered close to $0.11 per coin. The spike appears connected to news that X, formerly known as Twitter, plans to introduce crypto trading on its platform. The head of product for X announced that this feature would allow users to trade stocks and cryptocurrencies directly from their timelines in the coming weeks.
This is not the first time Dogecoin has benefited from X-related updates. Elon Musk, the platform’s owner and a vocal supporter of Dogecoin, has frequently championed the coin, referring to it as his favorite cryptocurrency. Despite the recent gains, it’s notable that Dogecoin remains approximately 85% below its all-time high achieved in 2021.
While Bitcoin and Ethereum struggled with net outflows, the situation for Bitcoin’s exchange-traded funds (ETFs) has also been challenging. Data from Farside Investors revealed that investors withdrew around $360 million from U.S. Bitcoin ETFs managed by companies such as BlackRock, Fidelity, and Grayscale. Ethereum also experienced similar outflows, with a total of $161 million withdrawn from its ETFs over the past week.
The broader market context paints a worrying picture for Bitcoin. Following a crash that pushed its price down to nearly $60,000 last week, investor sentiment has soured. Since October, the crypto market has endured significant selling pressure, leading to the largest liquidation event in the asset class’s history that wiped out over $19 billion in leveraged bets. Speculation around U.S. Federal Reserve dynamics, particularly concerning Trump’s nomination of Kevin Warsh—an inflation hawk—has heightened uncertainty, prompting investors to seek safer assets.
Looking ahead, analysts are forecasting further difficulties for Bitcoin. Standard Chartered has warned that the cryptocurrency could plummet to $50,000 before stabilizing, while blockchain analysis firm CryptoQuant estimates a realistic bottom could be around $55,000 per coin.
As of the latest reports, Bitcoin is showing a nearly 1% increase over the past 24 hours, trading at approximately $69,428, while Ethereum has risen by about 4%, priced at $2,051. The volatility and trends in the cryptocurrency market continue to keep investors on edge, highlighting the unpredictable nature of this emerging financial landscape.
