Dogecoin (DOGE) and xrp (XRP) led the way lower in the overall market downturn, as traders took profits earlier in the week, while the U. S. -listed Bitcoin (BTC) exchange-traded fund (ETF) ended seven days of inflows. DOGE fell 5% and XRP fell 4% as bitcoin failed to extend Monday's rally to nearly $70,000. Over the past seven days, the two tokens have led the way, respectively, based on Elon Musk's support and fundamental development.

The broad-based CoinDesk 20 (CD20), a liquidity index that tracks the market value * * token, fell nearly 2%, while Bitcoin fell 1%. However, traders expect bitcoin to rise to $80,000 in the coming weeks as the US election approaches.
The market for midsize and small stocks was generally flat. However, BONK and governance token APE fell more than 7%, leading the small tokens.

Traders noted that key bitcoin resistance levels and the suspension of stablecoin issuance were one reason for the slow upward trend of bitcoin and other cryptocurrencies.

FxPro * * Market analyst Alex Kuptsikevich told CoinDesk in an email: " The main reason for the decline in the entire cryptocurrency market seems to be bitcoin, and shorts prevented bitcoin from falling to $70,000. Early Monday, bears stepped up selling at $69. [] $50,000 and fell to $66. [] $50,000 on Tuesday morning.”

Kuptsikevich Said: " stablecoin transactions have not increased since the end of September, which could halt growth in the entire cryptocurrency market, as stablecoins are often seen as quick purchases of liquidity from the token of interest. The previous growth momentum was from August to September, when the overall cryptocurrency market value was pushed up from the bottom.”

CoinDesk Previous analysis showed that the liquidity and growth of stablecoins are closely related to the rising prices of Bitcoin and cryptocurrencies.

The Bitcoin ETF posted a net loss of $80 million on Tuesday, with Ark Invest's ARKB outflow $3.4 billion, a * * record for the product. BlackRock's IBIT flows $42 million, leading the inflow, while Fidelity's FBTC and VanEck's HODL, flowed $8 million and $3 million, respectively.

Meanwhile, BlackRock's Ethernet ETF flowed into $11 million on Tuesday, while other products had no in or out activity.