Bitcoin Slumps to $45K Amid Hawkish Fed, Buying Activity Remains Positive

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Bitcoin Slumps to $45K Amid Hawkish Fed, Buying Activity Remains Positive
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Bitcoin slumped to its support level of $45,000 on Wednesday morning even as on-chain data shows that overall buying activity remained positive. By shauryamalwa

Bitcoin slumped to its support level of $45,000 on Wednesday morning even as on-chain data shows that overall buying activity remained positive.

Weakness in the top cryptocurrency led to a broader fall in the crypto market. In the past 24 hours, ether , Solana’s SOL, and XRP fell 5%, while Avalanche’s AVAX and Polkadot’s DOT fell over 6%. Dogecoin’s DOGE was the only gainer among majors, buoyed by optimism around Elon Musk’s appointment to the board of social media platform Twitter , which is being viewed as a positive sign for the memecoin.

ETFs, or exchange-traded funds, are a type of pooled investment security that can be traded on exchanges similar to stocks, but without investors owning the underlying asset. Some said ETF demand came on the back of political tensions in Eastern Europe, such as the ongoing Russia-Ukraine war.

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