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After a euphoric week, leading cryptocurrencies Bitcoin (BTC) and Ethereum (ETH) ended Sunday in the red, and selling continued to this week’s open. Currently, Bitcoin is trading at $42.1K, down 4.07% today, while Ethereum is at $2.23K, down 4.87%.
However, traders continue to rally behind Bitcoin ETF Token as its presale surges toward $3.5 million.
Market overconfidence corrected, but analysts fear another flush
Warning signs of a steep correction have been everywhere over the past few days. Many analysts urged market participants to proceed cautiously, but some believe another flush is imminent even after the recent correction.
CoinMarketCap’s Crypto Fear and Greed Index entered the “extreme greed” zone, indicating that the market may be overbought. This represents a high-risk time for new buyers to enter the market, as a selloff is necessary to restore balance.
Meanwhile, crypto funding rates recently reached a local high. This indicates significantly more long orders than short orders in the market, causing bulls to pay a premium to rebalance.
High funding rates are often followed by a “flush,” where futures positions are forcibly closed, causing prices to cascade in the opposite direction.
This was highlighted by the analyst Mister Crypto, who suggested that Bitcoin’s high funding rates were “signaling a top.”
In the analysis, Mister Crypto noted that Bitcoin’s price retraced by 20% each time its funding rates reached their recent levels.
Given Bitcoin has pulled back less than 5% so far, this could indicate a much deeper correction is imminent.
Meanwhile, prominent X commentator MrChief predicts that the market will “pullback enough to stop out early buyers & get bears super excited then reverse back up.”
However, other analysts believe the crypto market may be poised for a longer-term pullback. One is RektCapital, who referenced earlier market cycles’ price action to suggest that “the Bitcoin Pre-Halving top may be very close.”
That said, the Bitcoin halving is just 137 days away and spot Bitcoin ETFs are on the cusp of approval by the Securities and Exchange Commission (SEC). As such, the market looks poised for a solid mid-term trajectory.
Even so, market participants seeking growth appear to be considering Bitcoin ETF Token whose presale is in progress.
Bitcoin ETF Token presale raises $3.4 million in 1 month
Bitcoin ETF Token has raised almost $3.5 million in one month. The project features multiple use cases, rewarding holders as the SEC approves spot Bitcoin ETFs.
The project features a deflationary mechanism. 25% of its supply is reserved to be burned across five Bitcoin ETF milestones.
Additionally, there is a 5% burn tax on transactions, reducing by 1% at each target.
These scarcity-focused features, combined with the anticipated $1 trillion in liquidity entering the crypto market from the Bitcoin ETFs, could support Bitcoin ETF Token.
Further supporting this is the project’s current early stage and low market cap at launch of just $12.39 million.
Bitcoin ETF Token also has a staking mechanism, offering a 79% APY. Even so, this will decrease as more tokens are staked, incentivizing buyers to get in early to maximize their gains.
The project also offers a Bitcoin ETF Alerts service. This is a news feed that pulls latest Bitcoin updates from around the web into one place. The feature aims to foster a more active and engaged community.
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