Crypto Markets Today: Bitcoin extends downtrend as risk appetite remains muted
Bitcoin dropped 1.5% overnight, continuing a bearish downtrend as traders await external catalysts amid muted risk appetite.Summary
The crypto market experienced a downturn overnight, with Bitcoin (BTC) slipping 1.5% from its high, reinforcing a bearish trend marked by lower highs since early October after failing to reclaim $94,700 last week. The broader CoinDesk 20 index fell 1.6%, with altcoins underperforming Bitcoin, evidenced by rising Bitcoin dominance to 58.7%. Despite the weakness, the average crypto Relative Strength Index (RSI) is at 38.49, suggesting the market is oversold and potentially due for a short-term relief rally, though clear year-end catalysts are absent. Derivatives data indicates market calm ahead of upcoming U.S. inflation data and a Bank of Japan decision, with options positioning still favoring downside concerns, as puts remain pricier than calls for both BTC and ETH.
(Source：CoinDesk)