Journalist
Sead Fadilpašić
Journalist
Sead Fadilpašić
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The digital currency ecosystem has experienced a downturn, with the total market value decreasing by 5.1% in the last day. This pullback moves the market further from its recent peak of $4 trillion, settling at $3.84 trillion. Across the board, prices are generally lower today. A majority of the top 100 cryptocurrencies, ranked by market capitalization, are showing losses since yesterday. Trading activity remains robust, with total crypto trading volume holding steady at $225 billion, a level maintained for several days.
Key Points:
Top Crypto Performers & Declines
Unlike the previous day, where nearly all top 10 cryptocurrencies were in decline, today sees a mixed performance. Five of the top ten coins are showing gains, while three are experiencing losses (excluding the two stablecoins).
Bitcoin (BTC) has slipped by 2% over the last 24 hours, and is now valued at $115,282.
Meanwhile, Ethereum (ETH) has climbed by 1.9% during the same period, trading at $3,621.
The biggest gainer among the top coins is Tron (TRX), with a 3.6% increase to a price of $0.3148.
Conversely, Solana (SOL) has seen the largest decline, falling by 2.8% to a current trading price of $177.57.
Looking at the top 100 cryptocurrencies, approximately 25 are showing gains, a considerable increase from the four that were up yesterday. Notably, two of these have recorded double-digit percentage increases.
Ethena (ENA) has surged by 14.8% to $0.4933, while Curve DAO (CRV) has increased by 11.3% to $1.02.
The declines, on the other hand, are relatively modest. Mantle (MNT) has fallen by 3.5%, now priced at $0.7354.
Jupiter (JUP) follows with a 2.9% decrease, trading at $0.5243.
In the last 24 hours, over $721 million worth of leveraged cryptocurrency positions have been liquidated, with Ethereum, Bitcoin, and XRP leading the way.
Attention has also been drawn to Galaxy Digital, which transferred a significant 17,123 BTC to various centralized exchanges within a 12-hour period.
Meanwhile, MicroStrategy, the company holding the largest Bitcoin treasury, has reportedly increased its STRC preferred stock offering to $2 billion, driven by strong investor interest in gaining exposure to Bitcoin through traditional investment vehicles.
Furthermore, Christie’s International Real Estate has announced the launch of a dedicated crypto division, comprised of legal experts, analysts, and cryptocurrency specialists. According to Christie’s CEO Aaron Kirman, “The trend was clear – crypto is here to stay and poised for further growth in the coming years.”
Market Dip Seen as Potential Temporary Correction
Ruslan Lienkha, head of markets at Web3 platform YouHodler, notes that Bitcoin’s “extended consolidation has triggered a broader market correction impacting major altcoins.”
Following a period of bullish momentum, significant gains, and record highs, “the current sideways movement in Bitcoin has eroded investor confidence and spurred profit-taking throughout the cryptocurrency market.”
“However, from a technical perspective, the overall market structure remains positive, suggesting the recent decline is more likely a temporary correction rather than a fundamental reversal.”
Despite short-term price weakness, the medium-term outlook for the cryptocurrency market remains positive, with broader financial markets exhibiting continued optimism, Lienkha explains.
“Investor demand for risk-based assets remains strong, fueled by a supportive macroeconomic environment, low recession risks, and ongoing investment in both equities and digital assets,” he states.
Therefore, the current correction is likely a healthy consolidation within a longer-term uptrend. Barring unforeseen shocks, Bitcoin and major altcoins are expected to resume their upward trajectory in the coming weeks.
“The technical indicators, including higher lows on extended timeframes and solid on-chain fundamentals, continue to reinforce the bullish outlook.”
Lienkha cautions, however, that the long-term outlook is becoming more uncertain, citing factors such as inflation, escalating trade tensions, and new tariff policies – all originating from the United States.
Gadi Chait, Head of Investment at Xapo Bank, adds that crypto market momentum has tempered following positive regulatory news last week. Still, “the underlying drivers of ETF inflows, institutional accumulation, and the shift of capital to a new, decentralized system remain in place.”
Bitcoin’s market dominance (~60%) has seen “only minor fluctuations despite the rise of alternative cryptocurrencies.” This slight decrease from previous peaks hints at the early stages of capital shifting into altcoins, a common pattern during bull markets.
Furthermore, the total market capitalization exceeding $4 trillion “reflects not only speculative interest but a fundamental transformation in how value is stored, transferred, and programmed in the digital age.”
Chait further comments: “As the market matures, the interaction between Bitcoin’s role as ‘digital gold’ and Ethereum’s function as a platform for innovation continues to shape institutional investment strategies. Altcoin seasons may present opportunities for increased returns, but Bitcoin’s strong position and established dominance suggest it will remain the core of institutional crypto portfolios for the foreseeable future.”
Key Levels and Upcoming Events
Currently, Bitcoin is trading at $115,282. It started the day reaching a high of $119,415, before dropping to a low of $115,259. It has not substantially recovered by the time of this report.
Investors are watching to see if the price will fall below $115,000. Conversely, as the overall bullish trend persists, the price might recover above $118,000 in the coming days.
Ethereum is currently trading at $3,621, recovering from a low of $3,530 and reaching a high of $3,754, before pulling back to its current level.
Ethereum has seen consistent gains in recent weeks and is now attempting to reclaim the $3,750 level. A successful breach could pave the way for a further rise to $3,850.
The overall cryptocurrency market sentiment has decreased slightly today, remaining within the “greed” territory, but trending towards increased caution, with a score of 66 compared to 67 yesterday.
Overall sentiment remains positive, but indicators are pointing toward growing caution among investors.
US Bitcoin spot exchange-traded funds (ETFs) ended their recent streak of negative flows, recording inflows of $226.61 million on July 24th.
Six funds experienced positive inflows, with no funds reporting outflows. Fidelity led the way with $106.58 million, followed by VanEck with $46.36 million. Uncharacteristically, BlackRock ranked third with $32.49 million.
US Ethereum ETFs continued their positive flow streak for the 15th consecutive day, potentially setting a record. Inflows on Thursday totaled $231.23 million.
Four funds recorded positive flows, with Fidelity again leading with $210.06 million. Grayscale saw outflows of $18.54 million.
According to YouHodler’s Lienkha, economists anticipate the impact of US tariffs “will be delayed, with effects becoming apparent in data in the coming months. This could further fuel inflation and introduce renewed volatility into both traditional and crypto markets.”
“Investors should be aware that rising inflation and trade friction could prompt central banks to reassess their current policy stance,” Lienkha cautions. “Any hawkish signals from the Federal Reserve, such as delaying rate cuts or maintaining higher rates for longer, may exert pressure on risk assets, including cryptocurrencies.”
Meanwhile, digital asset platform OSL Group has secured $300 million through an equity financing round, representing the largest publicly announced capital raise in Asia’s cryptocurrency sector. According to Ivan Wong, CFO of OSL Group, “The funding will accelerate our global expansion, specifically in regulated stablecoin infrastructure and compliant payment solutions.”
Frequently Asked Questions
- Why did the cryptocurrency market diverge from stock market performance today?
The cryptocurrency market experienced a decline in the last 24 hours, while stock market indexes closed with mixed results on Thursday. The S&P 500 increased by 0.7%, the Nasdaq-100 rose by 0.25%, and the Dow Jones Industrial Average fell by 0.7%. This divergence was driven by the ongoing tariff negotiations in the US and quarterly earnings reports from major technology companies.
- Is the current price dip sustainable?
The current price dip appears to be a normal correction, potentially allowing for further upward movement. However, upcoming macroeconomic events originating from the US, including tariffs, inflation, and a potentially hawkish Federal Reserve stance, could exert downward pressure, leading to a more significant correction.