Daily News | FARTCOIN Performed Strongly, The Crypto Market May Rebound In the Middle of The Week

Crypto Daily Digest: $70,000 may become the bottom support, and the crypto market may rebound in the middle of the week

According to Farside Investors data, the total net outflow of US Bitcoin spot ETFs yesterday was $97.7 million, of which Grayscale GBTC had an outflow of $74 million, and BlackRock IBIT data has not been updated yet. There was no inflow or outflow of funds in the Ethereum spot ETF yesterday.

According to Alternative data, today’s crypto Fear & Greed Index is 24 (yesterday’s was 23), and market sentiment is still in “extreme panic.” According to Coinglass data, the current mainstream CEX and DEX funding rates show that the market is bearish across the board.

Analyst: Crypto market sell-off driven by macro factors, may rebound in the middle of this week

According to The Block, analysts said that the sell-off in the crypto market on Monday was mainly driven by global macro factors rather than problems in the crypto market itself. Dr. Kirill Kretov, senior automation expert at CoinPanel, said in an interview with The Block: “We are in a period of heightened global uncertainty, with escalating tariff conflicts, frequent geopolitical hot spots, and conflicting macro signals converging. In this environment, investors are moving out of risk assets and into perceived safer assets like U.S. Treasuries and gold. Cryptocurrencies, especially Altcoins, are bearing the brunt of the pressure.”

Despite the market sell-off, some analysts still see a potential for a rebound in the short term. Chu, an analyst at BRN, said the oversold conditions could spark a rebound in the middle of this week, depending on upcoming economic data.

Chu said, “As risk assets are oversold in the short term, some short-term relief may be seen in the next one or two days. With the release of the Federal Reserve FOMC meeting minutes on Wednesday, the release of the US CPI and initial jobless claims on Thursday, and the release of the PPI and the University of Michigan consumer confidence and inflation expectations data on Friday, the market may see a “dead cat bounce” that will last for at least several weeks, which may start as early as Wednesday.”

Data: Current mainstream CEX and DEX funding rates show that the market is bearish across the board

According to Coinglass data, the current funding rates of mainstream CEX and DEX show that the market is bearish across the board.

Funding rates are the rates set by crypto trading platforms to maintain a balance between the contract price and the price of the underlying asset, and are usually applicable to perpetual futures. It is a mechanism for exchanging funds between long and short traders. The trading platform does not charge this fee, and it is used to adjust the cost or benefit of traders holding futures to keep the contract price close to the price of the underlying asset. When the funding rate is 0.01%, it indicates the base rate. When the funding rate is greater than 0.01%, it indicates that the market is generally bullish. When the funding rate is less than 0.005%, it indicates that the market is generally bearish.

Viewpoint: Bitcoin is closely related to the Nasdaq, and the bottom range may be around $70,000

Julio Moreno, head of research at CryptoQuant, said Bitcoin’s 26.62% decline from its all-time high of $109,500 has made this drop the worst retracement in the current bull cycle.

Looking at the historical cycle, this round of correction is not as severe as that in 2018 (down 83%) and 2022 (down 73%), but it is still impactful. Analysts say that if the Nasdaq is weak, Bitcoin’s rebound may be limited. In addition, Michael Saylor’s company recently suspended the purchase of coins, and the return on holdings is only 17%. Technically, if BTC falls below the 50-week EMA, it may enter a bear market. RSI shows that the bottom may be around $70,000.

Market Trends: FARTCOIN performed strongly, ETHD fell to 7.5%, a new low in nearly four years

Market Hotspots

FARTCOIN in the AI ​​agent sector surged by more than 20% in the day, and its price performance was significantly stronger than other Altcoins in the same period; FARTCOIN rose nearly 3 times in the past month, becoming the best performing AI agent token in the market; FARTCOIN’s current circulation market cap is $580 million, ranking 87th in the entire market. FARTCOIN is still down nearly 80% from its historical high;

The education token EDU, which CZ once strongly promoted, surged 35%, becoming the leading Altcoin in the market; however, the Open Campus project itself did not launch any operational activities to boost the price of the coin, and its future trend remains to be seen; EDU’s current circulating market cap is $66 million, down more than 90% from its historical high.

Mainstream Coins

BTC’s intraday volatility increased, briefly touching $75,000 before rebounding to above $80,000. Market funds repeatedly competed for the integer mark of $80,000. Today’s AHR999 index is 0.67, indicating that it is suitable for long-termists to invest regularly;

ETH fell to around $1,400 after the on-chain whale liquidation, and then returned to $1,600 following the market’s rise. ETHD is at 7.5% today, a new low in nearly four years;

Altcoins generally rebounded, but the rebound was weak, which may be caused by a large number of short sellers in the market closing their positions. The outlook is cautiously optimistic.

Macro News: US stocks fluctuated sharply, and market expectations for the Fed’s rate cut increased

Last night, the three major U.S. stock indexes fluctuated sharply, with the Nasdaq fluctuating by 9.68% and the Golden Dragon Index falling by 5%. As of the close, the Dow fell by 0.91%, the Nasdaq rose by 0.1%, and the S&P fell by 0.23%. The yield on the 10-year U.S. Treasury bond rose 4.777% to close at 4.189%, 40.9 basis points lower than the yield on the 2-year Treasury bond. The VIX index rose 3.69% to 46.98, and the U.S. dollar index rose 0.61% yesterday to 103.51.

During the trading session, several US media reported that Kevin Hassett, director of the White House National Economic Council, said that US President Trump is considering suspending tariffs on some countries for 90 days. Affected by this, US stocks, which had originally plummeted at the opening, turned from a decline to an increase, and the Nasdaq rebounded from a 5% drop to a 4.3% increase. However, it has been verified that Hassett’s original words in an interview with Fox News that day were “the president will make the decision he wants to make”, and he did not specify that “Trump is considering suspending tariffs on some countries for 90 days.” White House press secretary Carolyn Levitt called this “fake news.” As a result, the three major U.S. stock indexes fell again.

With no sign that Trump will back down on tariffs, expectations are rising for an emergency rate cut from the Federal Reserve. Swaps are pricing in about a 40% chance of a quarter-point rate cut next week, well before the central bank’s scheduled May 7 rate decision.