The crypto market fell on Sunday. Investors sold risky assets. Bitcoin dropped 11% in one day. Ether plunged 21%. The total crypto market lost $270 billion.
Stocks in Asia-Pacific fell too. Japan’s Nikkei 225 dropped 7%. It started last week. The Bank of Japan raised its interest rate. It reached the highest level in 16 years.
In the U.S., the Nasdaq fell 3.4% last week. It reached correction territory. It was the worst three weeks since September 2022. Amazon and Nvidia contributed to the declines.
Crypto ETFs See New Flow as Bitcoin and Ether Prices Decline
Stocks dropped due to disappointing earnings. A weak jobs report also caused this. Higher unemployment rates and a declining manufacturing sector added to this. The U.S. Federal Reserve kept its interest rate steady. They didn’t promise a rate cut in September. Lower interest rates usually help risky assets perform better.
Bitcoin’s price is now at its lowest since February. It trades at about $54,000. It is still up 23% this year.
Ether’s price fell to around $2,300. It erased its gains for the year. Binance’s BNB token dropped over 15%. Solana trades 10% lower.
Investors are watching for new trade data from China and Taiwan. They also await central bank decisions in India and Australia.
The recent crypto drop affects many investors. The SEC approved new spot exchange-traded funds for bitcoin and ether this year. These ETFs saw hundreds of millions of dollars flow into the coins. On Friday, media reported that Morgan Stanley would let its 15,000 financial advisors offer bitcoin ETFs to clients. This is a first for Wall Street.
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