Bitcoin Slides To The $27,200 Region As The Market Retraces

TL;DR

• Bitcoin has dropped to the $27,200 level after losing less than 1% of its value in the last 24 hours.

• The performance comes after rallying to the $28k level earlier this week.

Bitcoin Retraces To The $27k Level

Bitcoin, the world’s number one cryptocurrency by market cap, has lost 0.9% of its value over the last 24 hours. This saw Bitcoin’s price touch the $27,200 level.

The poor performance comes after Bitcoin’s rally earlier this week following Grayscale’s victory against the SEC. The rally saw Bitcoin touch the $28k level for the first time in nearly three weeks.

According to CCData, Grayscale’s GBTC fund experienced an inflow of capital, adding $1.17 billion to its AUM on August 29th and 30th. However, that wasn’t enough to push Bitcoin’s price past the $28k level on Wednesday. At press time, the price of Bitcoin stands at $27,234 per coin.

Market analysts believe that spot Bitcoin ETF’s approval could serve as a bullish catalyst for Bitcoin and the broader cryptocurrency market. Clara Medalie, director of research at Kaiko, pointed out that the market could experience a reversal in the near term. She stated that;

“A wave of ETF approvals could definitely be the bullish catalyst the crypto market needs right now. We are still in the middle of a tumultuous period for the industry with quite a few bankruptcies and lawsuits ongoing.”

Despite the broader market underperforming, Dogecoin added 1.5% to its value in the last 24 hours, making it the best performer amongst the top 10 cryptocurrencies by market cap.