Bitcoin and Altcoins Slide as Market Fear Deepens

Bitcoin drops to $63,400 while the Fear and Greed Index hits 34. Mixed ETF flows show institutional caution as total market cap falls to $2.17 trillion.

A weakening appetite for risk is coinciding with persistent uncertainty surrounding the upcoming U.S. Federal Reserve decision. This environment has shifted investor focus toward profit protection rather than opening new positions.

The total cryptocurrency market capitalization dropped by 2.87% to $2.17 trillion. The Fear and Greed Index remains firmly in “Fear” territory at 34 points, signaling that market sentiment continues to deteriorate. Providing a further sign of fading momentum, the average RSI for the crypto market fell to 39.85, entering oversold territory.

Bitcoin and Altcoins Under Pressure

At the time of writing, Bitcoin (BTC) is trading at $63,400, following a 2.77% loss over the last 24 hours and a 4.26% decline for the week. The largest cryptocurrency continued to move in lockstep with the broader retreat from risk assets, as weak buyer activity hampered recovery attempts.

Ethereum (ETH) also remained under pressure, sliding 4.37% to $1,880, bringing its weekly decline to 3%.

The sell-off extended across most leading altcoins. XRP lost 4.70% in 24 hours and 7.06% over the week, while Solana (SOL) fell 4.18% and Dogecoin (DOGE) retreated 3.37%. Among large-cap assets, Hyperliquid recorded the sharpest drop, with its token falling 8.07% daily and over 12% weekly. UNUS SED LEO stood as the sole exception, maintaining positive daily returns.

Institutional Flows Remain Mixed

Activity within exchange-traded funds (ETFs) failed to provide a clear signal regarding market direction.

According to data from FarSide Investors, spot BTC ETFs saw a net outflow of $11.6 million. The bulk of these withdrawals came from BlackRock’s IBIT, which recorded an $8.8 million outflow, and Fidelity’s FBTC with another $2.8 million. Other funds ended the session without significant changes, indicating limited institutional activity.

The outlook for ETH ETFs was notably more positive. These funds attracted $11.7 million in net inflows, with the entire amount directed toward BlackRock’s ETHA. The absence of outflows from other products suggests that interest in Ethereum remains relatively resilient despite the price correction.

Solana Attracts Capital While Hyperliquid Declines

Spot Solana ETFs recorded $1 million in net inflows, driven by the Bitwise BSOL fund, which was the only product to post a positive daily result. Although the amount is modest, it demonstrates that institutional interest in Solana persists even during periods of weak market sentiment.

In contrast, Hyperliquid ETFs registered $2.9 million in net outflows, coinciding with the steepest daily decline among major cryptocurrencies.

Coinglass data showed that XRP ETFs experienced zero net flows, suggesting that investors are choosing to wait for new catalysts before adjusting their exposure.

Subdued sentiment across the crypto market indicates that participants remain cautious ahead of upcoming macroeconomic events. With ETF flows providing mixed signals, short-term price direction will likely depend on whether institutional demand can offset the cooling interest in the spot market.