As the dust settles on a relatively calm week in the world of cryptocurrencies, major players Bitcoin (BTC) and Ethereum (ETH) have held steady, while meme coins have taken center stage. Amidst this stability, traders are keeping a close eye on the potential implications of a Bitcoin Exchange-Traded Fund (ETF).
Throughout the week, Bitcoin maintained levels around $29,300, while Ethereum hovered near $1,850, with both offering modest returns of just over 1%. This pattern of little movement extended to other key cryptos such as Cardano’s ADA, Solana’s SOL, and Lido (LDO).
However, the stagnation in mainstream cryptocurrencies has not extended to all corners of the market. Meme coins, like Shiba Inu (SHIB) and Pepe (PEPE), have seen a surge in interest. These cryptocurrencies, initially created as internet jokes, are now becoming serious contenders in the crypto arena.
Data analytics firm Santiment reported increased activity around these coins. However, it also cautioned that such sudden rallies often signify a local market peak, potentially indicating overheating in the broader crypto market.
Interestingly, this observed migration towards meme tokens, especially the amplified interest in SHIB futures, could be foretelling a significant shift in the Bitcoin trajectory in the subsequent weeks.
While the current volatility expected in the options market (DVOL) remains low, there’s a discernible increase in BTC’s activity relative to ETH, as noted by Deribit’s Chief Commercial Officer, Luuk Strijers.
He mentions, “A potential trigger could be the much-anticipated ETF announcement, along with the implications of halving in the extended outlook.”
Strijers further speculates that while immediate ETF revelations seem unlikely, any related announcements would undoubtedly wield a more profound impact on BTC compared to ETH.
