2024

Bitcoin

Kamala Harris (kamalaharriscoin.com)

Kamala Harris (kamaharris.fun)

<ul> 
 <li><strong>Bitcoin Falls Below $54,000, Reaches Lowest Level Since February.</strong></li> 
 <li><strong>Ether Slips Below $2,400 Amid Widespread Crypto Market Selloff.</strong></li> 
</ul>  
<p>On Sunday evening, the crypto market experienced a significant<a href="https://www.crypto-news-flash.com/bitcoin-reserve-bill-advances-to-senate-banking-committee-could-it-propel-btc-to-a-new-ath/"> flash crash</a>, with Bitcoin dropping 9.65% to its lowest level since February and Ether falling below $2,400. This decline reflects investor reactions to various news events, including macroeconomic updates, movements by Jump Crypto, and the increasing likelihood that Kamala Harris could win the upcoming U.S. election against pro-crypto Donald Trump.</p> 
<blockquote class="twitter-tweet" data-width="550" data-dnt="true"> 
 <p lang="en" dir="ltr"><a href="https://twitter.com/hashtag/Bitcoin?src=hash&amp;ref_src=twsrc%5Etfw">#Bitcoin</a> price has fallen to $54,000—here’s why:</p> 
 <p><img src="https://s.w.org/images/core/emoji/15.0.3/72x72/25b6.png" alt="▶" class="wp-smiley" style="height: 1em; max-height: 1em;"> Japan's rate hike <br><img src="https://s.w.org/images/core/emoji/15.0.3/72x72/25b6.png" alt="▶" class="wp-smiley" style="height: 1em; max-height: 1em;"> Weak US jobs data <br><img src="https://s.w.org/images/core/emoji/15.0.3/72x72/25b6.png" alt="▶" class="wp-smiley" style="height: 1em; max-height: 1em;"> Rumors of a Jump Crypto sell-off <br><img src="https://s.w.org/images/core/emoji/15.0.3/72x72/25b6.png" alt="▶" class="wp-smiley" style="height: 1em; max-height: 1em;"> Possible war between Iran and Israel <br><img src="https://s.w.org/images/core/emoji/15.0.3/72x72/25b6.png" alt="▶" class="wp-smiley" style="height: 1em; max-height: 1em;"> Economic panic as a consequence</p> 
 <p>Will <a href="https://twitter.com/hashtag/XRP?src=hash&amp;ref_src=twsrc%5Etfw">#XRP</a> and <a href="https://twitter.com/hashtag/BTC?src=hash&amp;ref_src=twsrc%5Etfw">#BTC</a> rise again? Yes! Retweet if you buy the dip!… <a href="https://t.co/uQaSPXwdEF">pic.twitter.com/uQaSPXwdEF</a></p> 
 <p>— Collin Brown (@CollinBrownXRP) <a href="https://twitter.com/CollinBrownXRP/status/1820318105161154851?ref_src=twsrc%5Etfw">August 5, 2024</a></p>
</blockquote> 
<p><script async src="https://platform.twitter.com/widgets.js" charset="utf-8"></script></p> 
<p>Bitcoin temporarily fell below $54,000 before recovering slightly to trade at $54,698. Ether also hit its lowest level since February, dropping 19.45% to trade at $2,333. Among the <a href="https://www.crypto-news-flash.com/marketcap/">largest cryptocurrencies</a>, BNB declined by 12.88%, and XRP fell by 13.38%.</p> 
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<h2 id="reasons-for-the-crypto-crash">Reasons for the Crypto Crash</h2> 
<p>Justin d’Anethan, Head of APAC Business Development at Keyrock, elaborates:</p> 
<blockquote>
 <p>“This decline is due to ETH ETF trading and large investors liquidating their positions in the Grayscale ETH Fund (ETHE).”</p>
</blockquote> 
<p>Min Jung, analyst at Presto Research, explained that the drop in Bitcoin and Ether resulted from several factors:</p> 
<blockquote>
 <p>“First, the labor market numbers released last Friday were much lower than expected, with only 114,000 jobs added. This has heightened recession fears, leading to a 2.43% drop in the Nasdaq and a 1.84% drop in the S&amp;P 500.”</p>
</blockquote> 
<p>Jung also noted that news over the weekend that Warren Buffett’s Berkshire Hathaway sold nearly half of its Apple Inc. position in the second quarter could further pressure the stock market.</p> 
<p>Additionally, over the weekend, Jump Crypto, the crypto arm of Jump Trading, began moving hundreds of millions of dollars worth of assets, including Ether and USDT.</p> 
<blockquote class="twitter-tweet" data-width="550" data-dnt="true"> 
 <p lang="en" dir="ltr">According to Spot On Chain, Jump Trading has transferred another 17,576 ETH worth $46.78 million to CEX in the past 24 hours. Jump Trading currently still holds 37.6K wstETH (worth $101 million) and 11.5K STETH (worth $26.3 million) and is in the process of unstaking Lido… <a href="https://t.co/9VPwCzPOtY">https://t.co/9VPwCzPOtY</a></p> 
 <p>— Wu Blockchain (@WuBlockchain) <a href="https://twitter.com/WuBlockchain/status/1820304063839519050?ref_src=twsrc%5Etfw">August 5, 2024</a></p>
</blockquote> 
<p><script async src="https://platform.twitter.com/widgets.js" charset="utf-8"></script></p> 
<p>This led to speculation that the company might liquidate its crypto holdings as part of an investigation by the U.S. Commodity Futures Trading Commission.</p> 
<blockquote>
 <p>“Jump Trading has moved ETH to a centralized exchange amid rumors that they may be forced to exit the crypto business due to a CFTC investigation,” Jung said.</p>
</blockquote> 
<p>At the same time, the upcoming U.S. presidential election is becoming an increasing source of uncertainty for crypto investors, as approval ratings for U.S. Vice President Harris rise. The election poll by decentralized prediction platform Polymarket currently forecasts a 45% chance of Harris winning, up from around 30% when Biden dropped out of the race and endorsed Harris as his successor.</p> 
<p>While Trump is a <a href="https://www.crypto-news-flash.com/biden-administration-could-sell-200000-bitcoins-to-thwart-trumps-reserve-currency-strategy/">strong supporter of crypto</a>, Harris has yet to match his support for the industry. However, the Harris team has reportedly brought in David Plouffe, a former member of the Binance Global Advisory Board and global strategic advisor for Alchemy Pay, for crypto outreach efforts.</p> 
<p>Jeff Dorman, Chief Investment Officer of crypto asset management company Arca, wrote in a post on X that more support for Harris is “bad for crypto.”</p> 
<p>“Even if Democrats are less hostile to crypto, the entire stock and crypto market favors a Trump victory,” Dorman said.</p> 
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    <h2 id="economic-factors-in-the-bigger-picture">Economic Factors in the Bigger Picture</h2> 
    <p>A potential war between <a href="https://www.timesofisrael.com/iran-said-to-dismiss-us-arab-nations-calls-for-restraint-even-if-it-sparks-war/">Israel and Iran</a> could cause crypto prices to fall due to heightened geopolitical uncertainty. Investors typically become risk-averse, moving funds from volatile assets like cryptocurrencies to safer options. This shift can lead to significant sell-offs in the crypto market.</p> 
    <p>Additionally, economic disruptions, such as higher oil prices and trade route disturbances, can negatively impact global economic stability, further reducing confidence in speculative assets. Fear and uncertainty during such conflicts drive market volatility, prompting investors to seek stability and thus exerting downward pressure on crypto prices.</p> 
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Bitcoin, ETH, and XRP Crash: Here’s Why — Has the Bottom Been Reached?

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