Bitcoin Takes a Backseat as Ethereum Steals the Show in August
In August, the crypto world witnessed an unusual shift. Bitcoin, the long-time star, saw a significant drop in interest. Investors pulled out $751 million from Bitcoin ETFs, just weeks after Bitcoin hit a record high of $124,000.
Meanwhile, Ethereum emerged as the new favorite, pulling in a staggering $3.9 billion into its ETFs. This marks the first time Bitcoin ETFs have lost money while Ethereum ETFs gained so much in the same month, signaling a potential shift in investor preferences.
Bitcoin's Troubles Deepen
Bitcoin's woes don't end there. New data reveals that Bitcoin's price has fallen below what some recent buyers paid, meaning these investors are now underwater. If the price drops below $107,000, it could plummet further, possibly to $93,000 to $95,000.
Experts predict Bitcoin might drop to $100,000 before rebounding to $130,000. Only a few analysts foresee a surge to $150,000 by year-end, suggesting the July rally was unsustainable and lacked real demand.
Ethereum's Steady Rise
In contrast, Ethereum has maintained steady interest, with positive inflows for 10 of the last 12 months. Despite a rough week, Ethereum gained 25% over 30 days in August.
With Bitcoin losing momentum, Ethereum's consistent inflows could provide quiet support, potentially marking a major shift in the crypto market as the year progresses.
Other Market Highlights
- Bitcoin is trading below $108,000, with some analysts noting that bearish charts could signal a bullish reversal.
- Ethereum is expected to stay above $3,800 into September.
- Gold is climbing toward record highs.
- The Nikkei 225 is set to open lower.
