Cryptocurrencies Retreat as Bitcoin Struggles to Hold the $110,000 Level
Despite the current pullback, expectations for greater corporate adoption of cryptocurrencies remain intact—particularly for Ethereum.
Quick overview
- Cryptocurrencies experienced mixed trading on September 4, with Bitcoin down 2% and Ethereum dropping 3.6%.
- Altcoins like Cardano, Solana, XRP, and BNB also faced losses, continuing a negative trend from the previous week.
- Despite the pullback, institutional interest in Ethereum remains strong, with significant inflows into crypto investment products.
- U.S. equities saw modest gains as investors awaited labor market indicators, with the Dow Jones up 0.5% and positive sentiment in European markets.
Cryptocurrencies traded mixed at the start of Thursday, September 4, with Bitcoin (BTC) down 2% over the past 24 hours, hovering around $110,100 on Binance. Ethereum (ETH) posted a sharper drop of 3.6%, trading at $4,311.
Altcoins also faced broad losses: Cardano (-3.7%), Solana (-3.2%), XRP (-1.6%), and BNB (-1.7%) all extended their recent declines, reinforcing the negative momentum seen over the past week. On a seven-day basis, ETH remains down 3.7%, while BTC is off 2.1% and still trading about 11% below its mid-August record high.
Institutional Appetite for Ethereum
Despite the current pullback, expectations for greater corporate adoption of cryptocurrencies remain intact—particularly for Ethereum. Data from the Strategic ETH Reserve suggest that institutional treasuries, corporations, and entities now collectively hold 4.71 million ETH.
Flows into crypto investment products highlight a similar trend. According to CoinShares, digital asset funds saw $2.48 billion in inflows last week, with $1.4 billion directed to ETH versus $748 million into BTC, signaling growing institutional preference for Ethereum.
Traditional Markets
U.S. equities posted modest gains on Thursday as investors awaited a fresh set of labor market indicators and looked ahead to Friday’s closely watched nonfarm payrolls report. Markets see the release as pivotal for confirming expectations of a Federal Reserve rate cut in mid-September.
The Dow Jones Industrial Average rose 0.5%, while the S&P 500 and Nasdaq Composite each gained 0.4%. On Wednesday, the Dow barely moved, closing 0.05% higher, while the S&P 500 and Nasdaq advanced 0.51% and 1.02%, respectively.
In Europe, sentiment leaned positive. The Euro Stoxx 50 added 0.4%, Germany’s DAX climbed 0.8%, and France’s CAC 40 slipped 0.3%. Outside the euro area, the UK’s FTSE 100 gained 0.4%.
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