Introduction
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Latest Market Prices
Bitcoin’s recovery from a recent low under $59,000 faced resistance around $61,000, indicating a lack of strong buying momentum. Similarly, Ether and the broader crypto market, as represented by the CoinDesk 20 (CD20) Index, experienced subdued trading activities during European hours.
The market’s pause coincides with the dollar index (DXY) hitting 106, its highest level since May 2. This surge in the dollar index has kept investor risk appetite in check, especially in anticipation of key economic data releases, including U.S. first-quarter GDP figures, durable goods data for May, and the weekly jobless report.
Market analysts are closely monitoring the weekly jobless claims data, considering the recent uptick in jobless numbers and the evolving labor market conditions. The upcoming Biden-Trump presidential debate scheduled for 21:00 EST is also expected to provide insights into how the November election outcome might impact the cryptocurrency industry.
Market Analysis
There is a growing consensus that the demand for U.S.-based spot Ether exchange-traded funds (ETFs) may not match the enthusiasm seen for Bitcoin ETFs. Galaxy Research forecasts that once approved, Ether ETFs could attract around $1 billion in net inflows per month. However, the net inflows into Ether ETFs are projected to be 20-50% lower than those of Bitcoin ETFs during the first five months, citing potential limitations due to the absence of staking rewards.
Concerns have been raised about potential outflows from the Grayscale Ethereum Trust (ETHE), which could hinder overall inflows into Ether ETFs. Despite these challenges, options traders remain optimistic about a resurgence in bullish sentiment for Ether post-approval of the ETFs by the SEC, anticipated around July 4.
Industry Developments
Bitcoin miner Marathon Digital (MARA) has diversified its revenue streams by venturing into multicoin mining. In response to reduced profits following the Bitcoin halving, Marathon has mined approximately 93 million kaspa (KAS) tokens since September 2023, amounting to roughly $15 million in value.
The company’s strategic move to mine Kaspa tokens aims to create a revenue stream independent of Bitcoin while leveraging its expertise in digital asset computation. Marathon plans to deploy additional mining machines to further expand its multicoin mining operations.
Chart of the Day
Check out the latest market insights and trends in the cryptocurrency industry in the chart provided below:
Date | Market Insights |
---|---|
Today | Bitcoin and Ether prices facing resistance levels |
Upcoming | SEC approval for Ether ETFs expected around July 4 |