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Bitcoin Reclaims $56,000 Amid Market Recovery; Ether ETFs Attract $49M
Bitcoin has surged back to $56,000 as the market shows signs of recovery, while Ether ETFs draw in $49 million in investments. Explore the latest trends and insights in the cryptocurrency market.
Latest Prices
CoinDesk 20 Index: 1,782 +8.8%
Bitcoin (BTC): $54,931 +6.4%
Ether (ETH): $2,448 +8.0%
S&P 500: 5,186.33 −3.0%
Gold: $2,455 +2.2%
Nikkei 225: 34,260 +10.2%
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Bitcoin has successfully reclaimed the $56,000 mark during the early hours of the Asian trading session, marking a significant recovery following Monday’s steep decline. The broader cryptocurrency market, as indicated by the CoinDesk 20 Index (CD20), has surged nearly 8% over the past 24 hours. Among the various cryptocurrencies, Solana’s SOL has led the charge, witnessing an impressive increase of nearly 13% to trade around $137. Other notable performers include XRP and DOGE, which have climbed by approximately 7.5% and 11.8%, respectively. After this initial surge, Bitcoin saw a slight pullback, stabilizing around the $55,000 level, which still reflects a 7% increase on the day. “We might witness a corrective rebound in Bitcoin’s price,” said Ruslan Lienkha, chief of markets at YouHodler, in a Tuesday email to CoinDesk. “However, this upward movement is likely to be constrained by the prevailing pessimistic sentiment in the broader markets.”
In a noteworthy development, spot ether ETFs attracted close to $49 million in inflows on Monday, despite the ETH price experiencing a sharp decline of as much as 20%. This marks Ether’s most significant single-day drop since 2021, primarily driven by Jump Crypto transferring substantial amounts of assets to exchanges in anticipation of potential sales. Nevertheless, professional investors seemed to seize the opportunity to buy the dip, with ETH ETFs trading volumes surpassing $715 million—the highest level recorded since July 30. It’s important to note that, despite these inflows, the ETFs remain in the negative, having experienced net outflows of $460 million since their inception. In contrast, their Bitcoin counterparts reported over $1 billion in inflows within their first 12 days of trading.
Amidst the market downturn, ARK Invest capitalized on the opportunity to acquire $17.8 million worth of Coinbase shares and $11.2 million in Robinhood stocks. These transactions mark ARK’s first purchases of COIN since June of the previous year and its first acquisition of HOOD since February. On Monday, Coinbase’s stock plummeted by 7.3%, while Robinhood’s shares fell by 8.17%. ARK Invest is known for strategically increasing its holdings when stock prices dip, typically with the intention of selling them once they recover. The firm has a policy of ensuring that no single holding constitutes more than 10% of any of its ETFs, which has influenced its recent sales of COIN shares.
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