Bitcoin and Ether experienced significant price drops on Friday, while the S&P 500 and Nasdaq indexes remained relatively stagnant throughout the day.
TradingView data showed that Bitcoin’s value had declined by 3.5% in the last 24 hours, with a trading value of $27,271, while Ether was down almost 5%. The cause for the downward trend in the volatile digital currency market is not always clear, but some suggest that it could be due to a decrease in excitement among speculators.
Matt Klein, a portfolio strategist at Nascent, noted that DOGE’s rally leading into 4/20 and the meme coin PEPE dominating on-chain activities are signs of euphoria that have started to make speculators risk-off. Daniel Matuszewski of CMS investment firm described the trend as “pre-selling before May and go away.”
Additionally, the Financial Times reported that the Ontario Teachers’ Pension Plan would steer clear of future crypto investments after it wrote off a $95 million investment into the failed FTX exchange.
The OTPP chief executive, Jo Taylor, said, “We’re still working through what exactly happened there and you’re going to be careful.” Meanwhile, the Financial Stability Oversight Council, chaired by Treasury Secretary Janet Yellen, has expressed its intention to tighten risk assessment rules for nonbank companies.
The S&P 500 and Nasdaq indexes closed the day with a modest gain of around 0.1%.
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