Bitcoin Shaky as Traders Bank Profits

The latest price moves in crypto markets in context for Nov. 15, 2024.

Bitcoin price dropped on Friday morning as traders booked some profits from the BTC's surge above $93,000 earlier in the week.

The world's largest cryptocurrency was trading above $90,000 at the time of writing. It remained over 1% lower in the last 24 hours.

Bitcoin ETFs saw $400 million of net outflows on Thursday, their third-highest loss since they listed in January.

The CoinDesk 20 Index, a measure of the broader crypto market, is 0.66% higher.

Bitcoin price pared some of Thursday's losses during the European morning to trade above $90,000. BTC price is now more than 1% lower in the last 24 hours, in a possible sign of profit-taking following its surge above $93,000 earlier in the week.

The drop in BTC price comes as Federal Reserve Chair Jerome Powell's hawkish comments dampened hopes of swifter interest-rate cuts.

“The economy is not sending any signals that we need to be in a hurry to lower rates,” Powell said in prepared remarks at a Dallas conference.

As of Friday, the market is pricing in a 66% chance of a 25 basis-point cut at the December FOMC meeting, down from Thursday’s 83%.

The CoinDesk 20 Index (CD20), a measure of the broader crypto market, is 0.66% higher.

Bitcoin ETFs saw $400 million of net outflows on Thursday, their third-highest loss since they listed in January.

Fidelity's FBTC saw outflows of $179.2 million, Bitwise BITB saw $113.9 million being drained, Ark's ARKB bled $161.7 million, while Grayscale's two products notched combined outflows of $74.9 million.

Similar to the dip in the underlying asset, ETF outflows may be a sign of investors booking some profits from the BTC price rally. However, BlackRock's IBIT saw inflows, gaining $126.5 million, continuing the trend of strong interest since Nov. 7.

The only days to have seen larger bitcoin ETF outflows — May 1 and Nov. 4 — both signaled local bottoms before BTC price returned to an upward trend.

XRP price zoomed 17% in 24 hours to outshine bitcoin and other majors as the shifting U.S. regulatory climate supported growth in tokens that were previously stifled by the SEC's actions.

XRP price hit highs of 82 cents in early Asian trading hours Friday, extending seven-day gains to 50% and reaching levels last seen in June 2023.

The jump in XRP price came as 18 U.S. states filed to sue the SEC and commissioners, including Chairman Gary Gensler, accusing them of unconstitutional overreach of the crypto industry.

The lawsuit, filed in the Northern District of Texas, alleges that the SEC has engaged in "unconstitutional rulemaking" and "unconstitutional enforcement actions" against cryptocurrencies and digital asset companies.

The states are seeking a court declaration that the SEC's actions are unconstitutional, an injunction barring the agency from continuing such actions and damages.

The lawsuit is the latest in a series of legal challenges to the SEC's authority over cryptocurrencies. In March, a group of crypto industry trade associations filed a lawsuit against the SEC, arguing that the agency does not have the authority to regulate digital assets as securities.

The SEC has maintained that it has the authority to regulate cryptocurrencies and digital asset companies under existing securities laws. However, the agency has also said that it is working on developing new rules specifically for the crypto industry.

The outcome of these legal challenges could have a major impact on the future of crypto regulation in the United States.

If the courts rule in favor of the crypto industry, the SEC could be forced to change its approach to regulating digital assets. This could lead to a more favorable regulatory environment for cryptocurrencies and digital asset companies.

However, if the courts rule in favor of the SEC, it could strengthen the agency's authority over cryptocurrencies and digital asset companies. This could lead to a more stringent regulatory environment for the crypto industry.