US Market Slump Spoils Crypto Market Recovery, Bitcoin ETFs See Net OutflowsBitcoin and the broader crypto market faced strong selling pressure as the Treasury yields surged. The Bitcoin ETF market begins the week with net outflows.By Bhushan Akolkar1 hour agoSTORY HIGHLIGHTS

• The surge in US Treasury Yields led to Dow Jones falling for the sixth consecutive session on Monday.
• Bitcoin selling could be more noticeable as the Bitcoin halving approaches.
• GBTC outflows continue with holdings dropping to 50% from the start of 2024.

Bitcoin (BTC) and the broader cryptocurrency market registered a strong bounce back in the Asian trading hours on Monday, April 15, following the launch of Hong Kong spot Bitcoin ETFs. However, later in the day, the slump in the US market poured cold water over the crypto market recovery with the Bitcoin price tanking over 4.5% and slipping under $62,500 levels.

Dow Jones Drop for Sixth Consecutive Session

The Dow Jones Industrial Average ended in negative territory for the sixth consecutive session in a row. On Monday’s closing, the Dow Jones ended 250 points down at 37,735 levels.

U.S. stocks continued their decline from the previous week as Treasury yields surged in response to a robust consumer spending report. The Nasdaq Composite witnessed a sharp drop of 1.8%, while the S&P 500 retreated by 1.2% and the Dow Jones Industrial Average experienced a 0.7% decline.

The increase in Treasury yields was propelled by a consumer spending report that surpassed expectations, further elevating yields which had already surged to year-to-date highs in response to last week’s inflation data. The 10-year yield surpassed 4.6%, reaching levels not seen since November.

Following this development, BTC and the broader cryptocurrency came under strong selling pressure. While the Bitcoin price tanked by 4%, some of the top ten altcoins have cracked 5-10% facing more selling pressure.

According to the CEO of Crypto.com exchange, while Bitcoin selling might become more noticeable as the Bitcoin halving date approaches, the long-term impact of the event is expected to strengthen the price of the leading digital asset. Speaking to Bloomberg, Crypto.com CEO Kris Marszalek said

The big news revolves around Binance’s introduction of leveraged futures trading for ARB, NEO, and FIL, opening up exciting opportunities for seasoned traders and newcomers alike. With leverage of up to 75x, investors can now amplify their trading positions and potentially maximize profits in the ever-evolving crypto market.

But what exactly does this mean for the average trader? Well, imagine having the power to magnify your investment capital by up to 75 times its original value. This newfound leverage enables traders to potentially earn substantial returns on even modest market movements, albeit with increased risk.

The launch of USDC collateralized perpetual contracts for ARB, NEO, and FIL marks a significant expansion of Binance’s futures trading options. These contracts, set to debut on April 18, 2024, at specific times, promise enhanced flexibility and accessibility for traders looking to capitalize on the price fluctuations of these altcoins.

“As we approach this date there may be some selling coming up” due to buy-the-rumor, sell-the-news trading. I expect pretty decent action within the six months following the Bitcoin halving”.

BTC ETFs Register Net Outflows

The week started on a pretty low note for spot Bitcoin ETFs in the US market with the total net inflows turning negative by around $37 million. BlackRock’s IBIT Bitcoin ETF registered $73 million in inflows,  however, the GBTC outflows stood at $110 million, as per data from Farside investors. Amid continuous outflows, the GBTC holdings of Bitcoin have dropped by 50% amid its high management fee.