Crypto currency Market Sees Continued Declines
During the European morning, major cryptocurrencies extended their decline, led by prominent altcoins and meme coins. SOL and DOGE were notably among the hardest hit, each trading down 4.5% and 10% respectively over the past 24 hours. Bitcoin slipped below $66,000 to approximately $65,300, marking a decrease of 0.9%, while ether dropped by over 3.25% to $3,400. The CoinDesk 20 Index (CD20), reflecting the broader digital asset market, fell just over 3% during the same period. Bitcoin ETFs continued their downward trend with outflows totaling $145 million on Monday.
In the crypto futures market, DOGE saw $60 million in long trades liquidated, a more severe outcome compared to BTC, marking an unusual event since May 2021. BTC long positions lost $47 million, while ETH fared worse with losses amounting to $76 million. Overall, long positions across cryptocurrencies shed over $440 million due to profit-taking and strengthening of the dollar, according to traders. Open interest in unsettled futures contracts dropped by 16% to $600 million. Traders positioning in DOGE futures indicated a bearish sentiment with a long-short ratio of 0.94.
On Monday, ZKsync, a layer-2 blockchain, initiated its airdrop, with 45% of tokens claimed within two hours. The ZK token debuted at $0.31 and has since decreased by approximately 32%, as reported by CoinGecko. Based on the circulating supply, its market capitalization stands at about $800 million, with 3.7 billion tokens eligible for distribution. On a fully diluted basis, the market cap could reach $4.5 billion. Despite technical challenges with its node, cryptocurrency exchanges Binance, Bybit, and KuCoin have listed the ZK token.
