In the current landscape of digital assets, the major cryptocurrencies are showing a downward trend ahead of Monday's opening bell in the US stock market, which has raised concerns regarding global appetite for risk investments. Bitcoin (BTC), the leading cryptocurrency by market capitalization, is experiencing a decrease of approximately 3.1% over the last 24 hours, trading at around $58,040 just before the market opens.
Following suit is Ethereum (ETH), which has seen a decline of more than 2.5%, dropping to $2,579. Additionally, Solana (SOL), recognized as the fifth-largest cryptocurrency and an upcoming candidate for support in US-listed exchange-traded funds, is down about 2%, listed at $141.2. The total market capitalization of the cryptocurrency sector has diminished by 2.2%, now sitting at $2.06 trillion.
The CoinDesk Market Index, an essential gauge of digital asset performance, recorded a decline of roughly 3% in the prior 24 hours. This bearish trend comes despite a robust performance in US equity indexes the previous week. Recent investment data has shown that US-listed spot price Bitcoin exchange-traded funds attracted net inflows totaling $32.4 million last week, as compiled by Farside Investors.
However, the newer Ethereum ETFs faced net outflows of $14.1 million during the same period, painting a mixed picture for investors. Looking ahead, this week’s economic calendar is heavily influenced by the much-anticipated annual gathering of global central bankers at the Federal Reserve Bank of Kansas City’s Jackson Hole conference, which kicks off on Thursday.
Market watchers will be closely monitoring Fed Chair Jerome Powell’s address scheduled at 10am ET on Friday, as investors eagerly search for any indications regarding a potential rate cut in September. In addition to the conference's insights, various housing data reports are expected this week, starting with Wednesday's release of the weekly mortgage applications.
Followed by Thursday’s existing home sales data for July and weekly jobless claims, while Friday will reveal new home sales figures and building permits data for the previous month. These reports will play a crucial role in shaping the market's perception of the economic landscape in the coming months..