Bitcoin Pares Losses Following Thursday's Slump
Bitcoin regained some ground, returning to $70,000 during European trading but remains about 3% down from the previous day. The declines in Bitcoin and altcoins have been attributed to profit-taking and shifts in political betting odds, particularly regarding Donald Trump’s election chances. Short-term Bitcoin holders engaged in panic selling as prices dipped below $70,000, leading to a record outflow of over 54,000 BTC sent to exchanges. In a political context, Kamala Harris's odds for winning the election increased, coinciding with a drop in Trump's odds, suggesting that traders are hedging their bets. Meanwhile, Ethereum futures funding rates are showing a slight upward trend, signaling a potential resurgence in bullish sentiment, albeit still lower than earlier this year. Market analysts note that higher funding rates could lead to increased price pressure on Ethereum, possibly fueling a stronger rally ahead.
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