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Bitcoin Falls to $66K, (SOL) Gains 5.75%, U.S. Spot Bitcoin ETFs

Bitcoin Falls to $66K, (SOL) Gains 5.75%, U.S. Spot Bitcoin ETFs

This week in web3 via NettyBytes

Alcides Aguasvivas
April 03, 2024

NettyWorth is a social marketplace where you can Chat, Manage and Borrow against your digital assets.

1. Bitcoin Falls to $66K Amid Rising Treasury Yields and Fed Rate Cut Speculations

Bitcoin (BTC) has dropped to around $66,000 as Treasury yields rise, indicating a potential delay in Fed rate cuts. Ethereum (ETH) is trading above $3,300, while the CoinDesk 20 (CD20) is down 0.6% to 2,532. The 10-year Treasury note yield hit a two-week high of 4.40% due to inflation and strong manufacturing activity. This has led to an outflow of money from risk assets like bitcoin and gold remains resilient. Prediction markets and CME's Fed Watch Tool suggest a rate cut is unlikely until later in the year.

2. Solana (SOL) Gains 5.75% to $192, Outperforming Overall Market

Solana's (SOL) price is up today, reaching around $187, supported by a broader crypto market recovery and its rising dominance. The price increase coincides with the recovery of Solana's memecoins like Dogwifhat (WIF) and Bonk (BONK). The launch of new memecoin projects on Solana's blockchain has positively impacted its price, with these projects potentially fueling speculative interest in SOL. Solana's total value locked (TVL) has grown by 70% in 2024, indicating strong demand for SOL. Additionally, Solana's market dominance is rising, with its Dominance Index (SOL.D) growing 28% year-to-date. Institutional investors have also contributed to Solana's market strength by investing in SOL-based funds.

3. U.S. Spot Bitcoin ETFs See Return to Net Outflows, Grayscale's GBTC Leads the Trend

Recent trends in U.S. spot Bitcoin exchange-traded funds (ETFs), highlighting a return to net daily outflows for the combined ETFs after a period of net inflows. Despite BlackRock's IBIT ETF recording inflows, Grayscale's GBTC saw significant outflows, contributing to the overall net outflow. The total outflows from GBTC have now surpassed $15 billion since trading began. Additionally, the trading volumes for spot Bitcoin ETFs have been declining since early March, with Bitcoin currently trading at $66,007.