«RBC-Crypto» does not provide investment advice, the material is published for informational purposes only. Cryptocurrency is a volatile asset that can lead to financial losses.
On the night of July 28, the price of Bitcoin ($BTC) fell by about 3% in a few hours, Ethereum ($ETH) — by almost 5%. More than 95% of the largest cryptocurrencies by market capitalization lost up to 20% of their value over the past day. Amid the volatility, cryptotraders lost over $600 million in the past 24 hours.
At one point, the price of $BTC fell to $63,000 — the lowest level since mid-July, and $ETH dropped below $1.87 thousand. By 10:00 Moscow time, the prices of these cryptocurrencies had recovered to $63.4 thousand and $1.87 thousand, respectively.
Over the past day, crypto exchanges liquidated positions of almost 140,000 traders for a total of $605 million, according to Coinglass. Of this amount, $530 million came from long positions — those who bet on price increases. The main losses were on the Bitcoin and Ethereum markets — over $250 million.
The fall of the crypto market was not a unique phenomenon and coincided with falling prices on global markets. From yesterday's peak, gold prices fell by about 2%. The main US stock indices, NASDAQ and SP500, lost 1% over the same period. The biggest declines were shown by Asian indices: the Korean KOSPI fell more than 10%, the Japanese Nikkei — 3%, the Chinese CSI fell by 3%.
At the same time, spot Bitcoin and Ethereum exchange-traded funds (ETFs) in the United States recorded almost zero changes in capital inflows. US Ethereum ETFs recorded an inflow of nearly $10 million during the trading session on July 27. Meanwhile, $BTC ETFs saw an outflow of nearly $10 million, according to Sosovalue.
The Crypto Fear and Greed Index stood at 29 points out of 100. This is still the "fear" zone, almost bordering on "extreme fear." The market sentiment indicator being at these levels suggests that investors are still inclined to sell cryptocurrencies.
