Bitcoin Price Falls to $28,800 as Ethereum Hits Lows Near $1,800

The price of Bitcoin dipped to $28,800 across major exchanges while Ethereum experienced lows near $1,800. This downward trend in cryptocurrency prices coincided with mixed trading in equities, indicating uncertainty in the market.

According to a recent report from digital assets manager CoinShares, there were outflows totaling $107 million in crypto investment products last week, with Bitcoin being the primary focus. The outflows from Bitcoin alone amounted to $111 million, marking the largest outflow since March. Interestingly, this was the first time in 14 weeks that outflows into short Bitcoin products had stopped.

Ethereum, on the other hand, experienced outflows of $6 million. Solana, a top altcoin, outpaced Ethereum with $9.5 million in inflows. Other cryptocurrencies that recorded inflows include XRP with $0.5 million and Litecoin with $0.46 million. Uniswap had outflows of $0.8 million, while Cardano had outflows of $0.3 million.

The decline in weekly trading volumes for digital asset investment products is also worth noting, with volume on-exchange and trading volumes standing at 62% and 36% year-to-date, respectively.

The caution in the market is reflected in the price of Bitcoin, which is currently hovering around the $28,800 level. Investors are awaiting an inflation reading that is crucial for the Federal Reserve’s decision-making process. Stocks, meanwhile, showed mixed performances during midday trading on Monday. While the S&P 500 and Dow Jones Industrial Average maintained slight positive ground at 0.5% and 0.9%, respectively, the tech-heavy Nasdaq Composite and Russell 2000 were down 0.1% and 0.2%, respectively.

James Butterfill, Head of Research at CoinShares, explained that the recent outflows can be attributed to increased profit-taking deals in recent weeks. This sentiment is reflected in the decline in weekly trading volumes for both digital asset investment products and on-exchange volumes.