Bitcoin Price Slide and Crypto Degens
Despite Bitcoin’s price sliding to fresh 2024 lows under $41,500, crypto degens are still driving explosive action in low-cap markets. Today, the biggest gainers on Uniswap are CBDC, TEST, and TRUMP.
Major Cryptocurrencies Trading in the Red
According to CoinMarketCap, the majority of major cryptocurrencies are trading in the red on Thursday. The sell-off seems to be Bitcoin-led, as it continues to suffer a sell-the-fact reaction to last week’s spot Bitcoin ETF approvals.
New Spot Bitcoin ETFs Attracting Strong Demand
New spot Bitcoin ETFs have attracted strong demand since their launch, with BlackRock’s ETF already receiving over $1 billion of inflows. However, Grayscale’s substantial selling of Bitcoin from its Grayscale Bitcoin Trust ETF is causing concerns and weighing on the Bitcoin price.
Macro Backdrop and Bitcoin’s Long-Term Outlook
The macro backdrop with the US dollar and US yields pushing higher is also a headwind for Bitcoin. Despite this, Bitcoin’s long-term outlook remains strong due to factors such as the upcoming halving, expected Fed rate cuts, and ongoing ETF inflows.
The Appeal of Low-Cap Crypto Markets
The downbeat outlook for Bitcoin is increasing the attractiveness of low-cap crypto markets. These markets can deliver significant gains within 24 hours due to their low liquidity levels. However, investors should exercise caution as these markets are also filled with scams.
Biggest Crypto Gainers Today on Uniswap
CBDC ($CBDC)
A shitcoin called CBDC ($CBDC) has experienced a pump, with gains of over 1,100% in the past 24 hours. At its peak, $CBDC was up nearly 14,000% with a market cap of over $20 million. However, its current market cap is around $150,000, and there are concerns about its smart contract.
TEST Token ($TEST)
A meme coin called TEST Token ($TEST) is also pumping, with gains of 250% in 24 hours. Its market cap is currently around $360,000, and it has nearly $200,000 in locked liquidity, reducing the risk of a rug pull.
FreeTrump ($TRUMP)
Trump-related tokens like FreeTrump ($TRUMP) have seen gains after Trump’s victory in the Iowa primary election. $TRUMP is up 140% and has a market cap of around $270,000 with $73,000 in locked liquidity.
Crypto Alternatives to Consider
For those looking for a better probability of near-term gains, getting involved in crypto presales can be an alternative high-risk, high-reward investment strategy. These presales offer tokens at cheap prices and have delivered huge exponential gains in the past. However, it’s important to carefully evaluate these projects for their teams and vision.
Hot Take: The Risks and Rewards of Low-Cap Crypto Markets
While low-cap crypto markets can offer significant gains within a short period, they also come with high risks. Investors need to exercise caution due to the lack of liquidity and prevalence of scams. Additionally, the current downbeat outlook for Bitcoin is driving more attention towards these markets. It’s crucial to thoroughly research and assess projects before investing to minimize the risk of losses.
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