• Tuesday, major tokens including Bitcoin and Ether experienced steep declines during Asian trading hours. The bullish sentiment was affected by the ongoing profit-taking, and outflows of U.S. listed Bitcoin ETFs.
  • Dogecoin’s (DOGE) tokens and Solana SOL were among the most notable losers.

The bullish sentiment was weakened by the decline of major tokens in Asia’s trading hours on Tuesday due to profit-taking, and a second day of net outflows for bitcoin ETFs listed in the United States.

BTC Price Index and Live Chart – CoinDesk”>(BTC) slid to nearly $66,500, reversing all its Monday gains, while ether <a data-position="autolink" href="https://coindesk.com/price/ethereum/" title="Ethereum Price BTC is hovering at the 50-day average of $66,000 and testing the medium-term trend. BTC ETFs have seen net outflows totaling $145 million. This is a continuation of last week’s poor performance.

DOGE Price Index and Live Chart – CoinDesk”>(DOGE) and Solana’s SOL lost as much as 9% in the past 24 hours, CoinGecko data shows, to lead losses. Ton Network’s TON dropped 5% while BNB Chain BNB performed better with losses of only 1.5%.

The broad-based CD20 (CD20) is down 4.2%. It’s a liquid index that includes the biggest tokens, but excludes stablecoins.

BTC fell below $65,000 for the first month in a row last week as the net outflows of ETFs surpassed $500 million and the Federal Reserve announced that it would only be cutting interest rates once in 2024.

In an email sent to CoinDesk, Neil Roarty shared that “other factors haven’t really helped.” The dollar strengthened further as traders fled the euro due to the political uncertainty caused by Emmanuel Macron’s unexpected decision to call a French snap election.

He said that a strong dollar puts downward pressure on Bitcoin, and it would require a lower interest rate and weakened dollar to bring BTC close to the $70,000 level.

Alex Kuptsikevich, senior analyst at FxPro, warned that the general sentiment was bearish . This is because favorable developments regarding ether ETFs did not do much to boost ETH prices.

“Ethereum was able, on the back of optimistic expectations regarding the ETF’s launch, to add more than 6% on Friday, after briefly falling below its 50-day MA. “A loss of almost 1.5% from the beginning of Monday’s day makes one cautious about the near-term performance for altcoins,” said he in a Tuesday e-mail.”

Kuptsikevich concluded that “the increased liquidity during the weekdays is likely to play in favor of bears, rather than bulls, by increasing sales interest.”

Parikshit Miishra is the editor.