Global Market
The entire market is in a sharp decline today, with total value declining between -6% and -8%, according to the source: The crypto market is between $3.76 and $3.83 trillion.
24-hour trading volumes fell to between $163 and $199 billion, with a jump in stablecoins.
⸻
Driving Factors
• Impact of US Economic Policies:
• The US Federal Reserve maintained interest rates at 4.25–4.5%, confirming that there is no intention of cutting them soon, which has triggered significant changes in investor sentiment toward riskier assets like crypto.
• The Project Crypto initiative launched by new SEC Chairman Paul Atkins aims to expand the regulatory framework, support decentralized finance (ICOs), and update disclosure and registration standards.
• The GENIUS Act was also enacted to regulate stablecoins, boosting institutional confidence in the Ethereum market and smart contracts. This regulation has encouraged investment flows through index funds, which have set consecutive record highs in ETH over the past 20 days, while BTC has seen a significant net outflow of $114 million.
• Contract and Derivatives Expiration:
– More than $5 to $7 billion in options contracts on BTC and ETH are expiring today, with “maximum pain” levels of $117,000—higher than current prices, which could add further downward pressure.
