This week witnessed significant fluctuations in the cryptocurrency market. Bitcoin (BTC) 
$63,549 approached its July peak of $69,500 but failed to break through that level, retreating to around $65,000, where it is currently finding support during this stagnant period.
Strong Inflows into Bitcoin ETFs
This week, Bitcoin ETFs saw an influx of $997.7 million, marking the third consecutive week of positive inflows. This indicates strong demand from large institutional players.
Furthermore, Bitcoin’s market dominance has risen to 59.75%. In contrast, the ETH/BTC pair broke a crucial support level at 0.03850, declining by 5.85% to 0.03625. This suggests that Bitcoin’s impact on the market is likely to continue increasing in the short term.
Market Reaction to Tether Investigation News
Allegations of an investigation launched by the U.S. government into Tether (USDT) led to a decrease in the USDT price. It dipped to a weekly low of $0.9965 but later recovered above $0.9980.
Tether’s CEO, Paolo Ardoino, denied these allegations; however, lingering concerns remain in the market due to previous scrutiny faced by Tether.
Tensions in the Middle East continue to escalate. In response to missile attacks earlier this month, Israel retaliated against Iran. These attacks, coupled with issues surrounding USDT, pressured the markets on Friday, with the Dow Jones dropping by 0.61% and the S&P 500 by 0.03%. The cryptocurrency market also saw declines, with Bitcoin briefly falling to $65,500.
As the weekend nears, attention turns to the upcoming non-farm payroll data to be released next Friday. This data will provide crucial insights into the Federal Reserve’s next steps. The probability of a 25 basis point rate cut in November stands at 95.1%, with the market not anticipating any major surprises.
