Cryptos Today: Bitcoin Struggles to Hold $20K Amid Mixed Investor Behavior; altcoins retreat up to 21%

Bitcoin (BTC) records a day of losses after recovering in the last few days from the sharp drop seen last weekend, when it went to $17,600, retreating to 2020 levels, and below the all-time high reached in 2017. At 7:05 am As of today, the cryptocurrency is down 3.5% to $20,425, a level it struggles to maintain while altcoins, which have been doing better so far in June, are performing worse and retracting sharply this morning, as is the case with Celsius Network ( CEL), which plummeted 21% after rising more than 50% yesterday.

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Ethereum (ETH), Cardano (ADA), Polkadot (DOT) and Solana (SOL) have the worst results of the day among the assets with the highest market cap, yielding 5.7%, 5.7%, 6.2% and 6.9%, respectively. On the upside, Waves (WAVES) is up 15.5%, followed by Synthetix (SNX) and Shiba Inu (SHIB), which advance close to 12%.

Today’s new losses come amid mixed feelings among investors, with some seeing an opportunity to buy, and others fearing further declines and therefore prefer (or are forced to) liquidate positions.

According to the analysis house Arcane Research, the Purpose Bitcoin ETF, the world’s largest Bitcoin ETF, listed on the Canadian exchange, recorded its highest daily volume of redemptions since it was launched in April 2021, with 24,510 BTC withdrawn in a single day, last Friday (17). For Arcane, the event would have been the catalyst for the sharp drop in digital currency on Saturday (18).

“The huge withdrawals were likely caused by a forced sell-off in a major sell-off,” analyst Vetle Lunde wrote. “The forced sale of 24,000 BTC may have triggered Bitcoin’s drop to $17,600 this weekend.”

As a result of last week’s redemptions, the Purpose Bitcoin ETF lost its rank of first place among the largest BTC ETFs to the New York Stock Exchange-listed ProShares Bitcoin Strategy (BITO), which trades Bitcoin futures in place of the New York Stock Exchange. active in the spot market.

Interestingly, BITO last week recorded the second highest net inflow since its October 2021 launch, bringing the fund’s exposure by 4,115 BTC. As a result, the fund now manages $668 million in assets, which is equivalent to around 31,500 BTC.

According to Coinshares, Bitcoin inverse funds, which bet against the cryptocurrency, registered a net redemption of $5.8 million last week, pointing out that many investors saw the cryptocurrency’s latest drop as a possible market bottom. For the company, redemptions in short funds could “suggest that negative sentiment is near its peak”.

  • Watch: Why Three Arrows Capital Fund Threatens Bitcoin and Keeps Investors Sleepless?

According to analysts, the mixed movements among investors show that, while part of the market agents are afraid of greater drops and suffer losses, another part sees the moment as an opportunity to accumulate cheaper BTC, aiming at a longer investment horizon.

“Opinion among investors is extremely polarized, with some seeing this as a great buying opportunity, while others are scared, liquidating positions,” James Butterfill, head of research at CoinShares, told CoinDesk. “Fund flows are likely to remain mixed,” he said.

These two profiles should fight for space in the market in the coming days, in a seesaw of volatility that, experts bet, is far from over.

“The bear market will not end until the recession hits or the risk of one happening is extinguished,” Morgan Stanley wrote in a note to clients yesterday. Matthew Tuttle, CEO and chief investment officer at Tuttle Capital Management, told CoinDesk that “in the long term, he would be concerned about the possibility that more sales could come ahead.”

Check out the performance of the main cryptocurrencies at 7:05 am:

cryptocurrencyPriceChange in the last 24 hours
Bitcoin (BTC)US$ 20,425.86-3.5%
Ethereum (ETH)US$ 1,091.28-5.7%
Binance Coin (BNB)US$ 214.53-3.3%
Cardano (ADA)US$ 0.472176-5.7%
XRP (XRP)US$ 0.472176-two%

Cryptocurrencies with the biggest gains in the last 24 hours:

cryptocurrencyPriceChange in the last 24 hours
Waves (WAVES)$6.52+15.5%
Synthetic (SNX)$3.52+12.2%
Shiba Inu (SHIB)US$ 0.00000969+11.6%
Chain (XCN)US$ 0.089925+7.4%
TitanSwap (TITAN)$4.73+7.4%

Cryptocurrencies with the biggest drops in the last 24 hours:

cryptocurrencyPriceChange in the last 24 hours
Celsius Network (CEL)$1.11-21.3%
ApeCoin (APE)$4.20-10.6%
Internet Computer (ICP)$5.55-8.8%
Basic Attention Token (BAT)US$ 0.363949-8%
Tezos (XTZ)$1.38-7.8%

Check out how cryptocurrency ETFs closed in the last trading session:

Hashdex NCI (HASH11)BRL 17.80+3.18%
Hashdex BTCN (BITH11)BRL 25.65+4.69%
Hashdex Ethereum (ETHE11)BRL 17.10+1.96%
Hashdex DeFi (DEFI11)BRL 16.35+2.25%
Hashdex Smart Contract Platform FI (WEB311)BRL 18.64+9.58%
QR Bitcoin (QBTC11)BRL 6.76+4%
QR Ether (QETH11)BRL 4.23+1.68%
QR DeFi (QDFI11)BRL 3.25+7.97%

See the main crypto market news for this Wednesday (22):

Tether announces pound-indexed stablecoin

Tether, issuer of the largest US dollar-pegged stablecoin USDT, plans to expand its offerings with the launch of GBPT, a stablecoin pegged to the pound sterling, the company said in a press release.

The token will be issued from July and will become Tether’s fifth stablecoin, joining the EURT, pegged to the euro, the CNHT, pegged to the offshore Chinese yuan, the MXNT, pegged to the Mexican peso, in addition to USDT itself.

Circle, its main competitor in the private stablecoin market, has only two assets: USD Coin (USDC), pegged to the dollar, and Euro Coin (EUROC), announced last week, which is pegged to the euro.

American arm of Binance wants to raise $50 million

Binance.US, the American arm of Binance, is looking to raise up to $50 million in additional investment at a valuation of $4.5 billion, according to people familiar with the matter.

The round would be a continuation of the $200 million seed round held by the exchange in April. The funding will target “strategic partners” and will not represent a new Series A round. Contacted by CoinDesk, Binance.US declined to comment.

How far will cryptocurrencies go? What’s the best way to buy them? We have prepared a free class with step by step. Click here to watch and receive InfoMoney’s cryptocurrency newsletter

About Yadunandan Singh

Born in 1992, Yadunandan approaches the world of video games thanks to two sacred monsters like Diablo and above all Sonic, strictly in the Sega Saturn version. Ranging between consoles and PCs, he is particularly fond of platform titles and RPGs, not disdaining all other genres and moving in the constant search for the perfect balance between narration and interactivity.

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