The cryptocurrency market has recently experienced a notable downturn, with total market capitalization dropping to $3.45 trillion, reflecting a loss of over 4 percent. Bitcoin has fallen 1.4 percent to $97,706.28, which is now 6 percent below its all-time high. Ethereum has also seen a decline, dropping 4.7 percent to $3,709.32. Other cryptocurrencies have not been spared, with XRP tumbling 10.5 percent to $2.17 and Solana down 6 percent to $215.61 [546665c1].
In addition to the declines in major cryptocurrencies, the meme category market cap has decreased by 10.4 percent to $116.6 billion, while the AI & Big Data category has seen a drop of 11 percent to $57.2 billion. Conversely, the stablecoins market cap has increased slightly by 0.03 percent to $207.6 billion [546665c1].
Despite the market's overall decline, Bitcoin Spot ETFs have attracted significant inflows, reaching $479 million on Monday, while Ethereum Spot ETFs saw inflows of $150 million. A recent report from CoinShares highlighted record inflows of $3.85 billion for the week ending December 7, bringing year-to-date flows to $41.1 billion, with the U.S. accounting for $40.86 billion of these inflows. However, Grayscale Investments reported outflows of $340 million, indicating a mixed sentiment among investors [546665c1].
This downturn comes as investors brace for the upcoming U.S. Consumer Price Index (CPI) report, which is expected to influence market dynamics further. The anticipation surrounding economic indicators continues to shape trading strategies within the cryptocurrency space [546665c1].