Crypto Prices Drop as Macro Factors and Regulatory Uncertainty Weigh on Sentiment
• Ethereum, Solana, and XRP prices have dropped 6.7%, 9.2%, and 8.4% respectively over the past 24 hours due to macroeconomic factors and crypto-specific issues.
• A stronger US dollar, declining long bonds/rising yields, and defensive rotation out of speculative assets like crypto are driving the price drops.
• Disappointment around delays in a spot Bitcoin ETF approval appears to be shifting sentiment and driving bearish crypto bets.
• Total crypto market TVL has dropped 5.8% in 2023 so far, indicating cooling enthusiasm and caution among crypto investors.
• Until expected Bitcoin ETF decision on January 10th, volatility is expected across the crypto sector.