The worldwide market for digital currencies has experienced a significant drop, with Santiment data indicating that the majority of tokens are currently in a favorable position for investment.
In the last 24 hours, the global crypto market cap has decreased by 4.1% to $2.49 trillion, as reported by CoinGecko. However, the total daily trading volume has surged by 16% to $99.1 billion.
This increase in trading volume typically results in greater market volatility. Bitcoin (BTC) and Ethereum (ETH), the top cryptocurrencies, have both seen declines of 3.5% and 2.6%, respectively. BTC is currently priced at $64,250, while ETH is trading around $3,150.
Additionally, Bitcoin ETFs have experienced an outflow of $120.6 million in the last day, according to data from Farside Investors. The BlackRock IBIT Bitcoin ETF had its first day with zero inflow since its launch in the U.S. Furthermore, the Grayscale Bitcoin Trust (GBTC) saw a net outflow of $130.4 million on April 24, potentially contributing to the overall bearish sentiment in the market.
On a positive note, Santiment data reveals that more than 85% of assets listed on the platform are currently in an opportune position for investment. The market value to realized value (MVRV) ratio across one-month, three-month, and six-month cycles has generated a buy signal, according to the market intelligence platform.
Despite the market cap declines, there is a growing fear among investors. However, social media activity surrounding the phrase “buy the dip” has surged, with 35.97% of all crypto conversations dominated by this sentiment. Most of this social activity is coming from Reddit and X, while Telegram and Bitcointalk have a smaller share, as per Santiment’s data.
In other news, capital inflows into spot Bitcoin ETFs have totaled $31 million, indicating continued interest in the digital currency market.