After the crypto market struggled to maintain a bullish recovery in the past few weeks following the August 5 crash, Bitcoin (BTC) price led the altcoin sector in notable losses on Friday. In the past two days, Bitcoin price has consistently closed below the crucial support level above $57k, thus indicating the bears are in control.
According to the latest market data, Bitcoin price dropped over 5 percent in the past 24 hours to reach a daily low of about $52,690.
The flagship coin had, however, rebounded above $53,800 on Saturday, during the early Asian session.
The total crypto market cap slipped below $2 trillion, following the forced liquidation of nearly $300 million.
Major Forces Weighing Down on Crypto-Bullish Outlook
September Bearish Chronicles
Amid the heightened fear of bearish sentiment in the coming weeks, Bitcoin price led the altcoin industry in notable losses in the past two days. The crypto industry followed major stock indexes in bearish sentiments, despite the rising calls for interest rate cuts on September 18.
Bitcoin’s fear and greed index dropped to about 23 percent today, signaling extreme fear among traders.
Most analysts believe the losses could continue in the near term, with Bitcoin price expected to drop below $50k.
Rising Whales’ Selloffs
According to on-chain data analysis, whale investors have increased the selling pressure in the past few weeks. For instance, Wintermute deposited nearly 47k Ether, worth over $104 million, to the Binance exchange in the past 24 hours.
As for Bitcoin, investors who bought between $47k-$64k are feeling the squeeze, with only 27.6 percent of them currently in profit. On Friday, a giant whale deposited 1k BTCs, worth around $55 Million, to Binance at a loss.
Poor Performance in Spot Ether and BTC ETFs
In the past week, the United States-based spot Bitcoin and Ether ETFs have been bleeding profusely. According to the latest market data, the US spot Bitcoin ETFs have registered a net cash outflow of nearly $1 billion led by Fidelity’s FBTC.
As for the spot Ether ETFs, they have registered negative cash flows in the past four consecutive weeks.
