Crypto Week Ahead: Bitcoin On Downward Trend Under Pressure Due To Increased Selloffs

Crypto Week Ahead: Over the past seven days, Bitcoin (BTC) price achieved a high of $64,606.82.

BTC dominance, at the time of writing, stood at 56.41 percent.

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Bitcoin (BTC) is expected to continue feeling pressure due to an increase in selling and a huge amount of outflow from spot exchange-traded funds (ETFs). BTC price, at the time of writing, is dwelling within the $57,000 range, with a further downward push expected to take the price to $55,000, if the bulls fail to bring some much-needed rectification.

Before we proceed further, readers should note that the overall crypto market and coin prices are extremely volatile. There are no foolproof methods to ascertain how cryptocurrencies are expected to behave in the future. 

This article is aimed at helping investors stay on top of the current market scenarios and the biggest events that have already taken place as well as some upcoming occurrences that are worth noting. Investors are advised to do their research before taking any call. 

Crypto Prices Over The Past Week

Last Monday (August 26), the overall crypto market cap stood at $2.25 trillion. BTC price stood at around $64,000. ETH price stood at around $2,750.

A week later, the overall market cap dipped to $2.02 trillion.

DeFi's total volume stands at $2.73 billion, at 4.93 percent of the total market 24-hour volume. In the case of stablecoins, the overall volume stands at $50.91 billion, at 91.80 percent of the total 24-hour market volume. As per CoinMarketCap, the overall market fear and greed index stood at ‘Neutral’ with 43 points (out of 100).

BTC dominance, at the time of writing, stood at 56.41 percent.

Over the past seven days, Bitcoin achieved a high of $63,901.78 (on August 26) and a low of $57,273.38 (September 2).

Ethereum, on the other hand, saw a high of $2,746.04 (August 26) and a low of $2,414.65 (September 2).

Crypto Events To Note

Coinbase, a leading cryptocurrency exchange, has achieved a major milestone in digital finance by executing its first AI-to-AI cryptocurrency transaction. CEO Brian Armstrong revealed this groundbreaking development, marking a significant step in how artificial intelligence can interact with the world of digital currency.

Armstrong highlighted that this achievement opens new avenues for AI systems, enabling them to acquire resources autonomously and engage with other AI agents and human users. He emphasised that this technology could transform the way AI integrates into financial systems and everyday interactions.

Meanwhile, the non-fungible token (NFT) market continued its downward trajectory in August 2024, with sales plunging further after a sharp decline in July. According to data from cryptoslam.io, NFT sales totalled approximately $376.3 million in August, reflecting a substantial drop of 41.36 percent compared to the previous month.

The downturn in the market was also evident in the number of participants, with the number of NFT buyers decreasing by 29.04 percent, and sellers declining by 17.02 percent over the month. Transaction volumes took a significant hit, with about 7.45 million transactions recorded in August — a 50 percent reduction from July.

Among the leading blockchains, Mythos Chain was the only one to buck the trend, reporting a 14.31 percent increase in sales. The other top blockchains in the market all experienced declines, further highlighting the ongoing challenges faced by the NFT sector this year.

What Crypto Traders Are Saying About Current Market Scenario

Mudrex co-founder and CEO Edul Patel told ABP Live, "This week, Bitcoin is likely to remain under pressure after dipping below the $60,000 mark over the weekend, influenced by increased selling and outflows from Bitcoin spot ETFs. Bulls will need to defend critical support levels as the market braces for a potential catalyst in the form of a September rate cut by the US Federal Reserve. If Bitcoin fails to hold its current position, we could see increased pressure pushing it toward the $55,700 support level.”

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Disclaimer: Crypto products and NFTs are unregulated and can be highly risky. There may be no regulatory recourse for any loss from such transactions. Cryptocurrency is not a legal tender and is subject to market risks. Readers are advised to seek expert advice and read offer document(s) along with related important literature on the subject carefully before making any kind of investment whatsoever. Cryptocurrency market predictions are speculative and any investment made shall be at the sole cost and risk of the readers.