The global cryptocurrency market experienced a downturn today, with total market capitalization dropping by 1.6% to reach $3.89 trillion, as reported by CoinMarketCap. Despite the overall decline in major assets, trading volume over the last 24 hours saw a slight increase, amounting to $171 billion.
Bitcoin, the largest cryptocurrency, slid 2% to $112,859, while Ethereum recorded a 3% decline, bringing its price down to $3,991. Other major cryptocurrencies also faced losses, with BNB and Dogecoin falling by 2.1% and 3.1%, respectively. Only XRP managed a nominal gain, rising 0.5% to $2.64.
Among the top gainers, Diverge Loop surged dramatically by 88.5%. In contrast, Vutlsig suffered significant losses, plummeting by 31.9%. Enso, Arcblock, and ChainOpera AI emerged as the most trending coins, drawing attention across the market.
A noteworthy development came from Bitwise Asset Management, whose newly launched Solana ETF attracted significant capital, recording $69.5 million in inflows on its first day of trading—almost six times the debut amount of its closest rival. The strong performance is potentially linked to capital flows from Ethereum ETFs, which now hold approximately $25 billion in assets, previously inaccessible to investors in Solana.
Market participants are closely anticipating a 25-basis-point rate cut from the Federal Reserve, expected to reduce the benchmark range to between 3.75% and 4%. This adjustment could inject liquidity into financial markets, potentially benefiting risk assets like cryptocurrencies. Bitget CEO Gracy Chen described the market environment as precarious, noting the delicate balance between optimism and caution ahead of the Fed’s announcement.
According to Bitget’s chief analyst, Ryan Lee, such a rate cut could spur short-term rallies in Bitcoin and Ethereum, with potential capital shifts towards altcoins like Solana and XRP, driving their growth as hedges against inflation.
Looking at current price levels, Bitcoin is slightly down at $112,760, having reached an intraday high of $113,800 before dipping. A significant breakout beyond $115,000 could lead to a bullish momentum, with targets set at $118,200 and $121,000. Conversely, failing to maintain above $112,000 may prompt a test of the $110,500 support level.
Ethereum is positioned at $3,986, showing a slight improvement of 0.16% in the past 24 hours. The cryptocurrency saw a high of $4,050 but retreated to $3,920. A break above $4,100 could pave the way to resistance levels of $4,250 and $4,400, although a drop below $3,900 could result in further declines toward $3,750.
Market sentiment has regressed into the fear territory, with the Crypto Fear and Greed Index registering at 39. This marks a decrease from yesterday’s neutral reading of 42 and slight improvement from last week’s higher fear index of 29.
Institutional interest remains robust, as evidenced by the inflows into spot Bitcoin and Ethereum ETFs. On October 28, Bitcoin ETFs recorded net inflows of $202.48 million, bringing total cumulative inflows to $62.34 billion. In a parallel trend, Ethereum ETFs experienced a resurgence, with inflows amounting to $246.02 million, raising cumulative inflows to $14.73 billion.
In a notable partnership, Trump Media and Technology Group, the company behind Truth Social, has joined forces with Crypto.com to introduce prediction markets on the platform. This initiative represents a significant move in the integration of cryptocurrency technology within social media, positioning Truth Social as the first publicly traded social media company to offer such features. This collaboration will enable users to trade on various real-world event outcomes, including elections, economic data, and sports.
