Crypto Markets Turn Lower as Tech Stocks Dip

MicroStrategy has purchased another $786 million of Bitcoin while the German government is reportedly trimming its BTC holdings.

By: Mehab Qureshi Loading...

stylized symbols of tech companies and downward-trending arrows

Crypto markets initially rallied on Friday morning after business intelligence firm MicroStrategy acquired an additional 11,931 BTC.

However, markets reversed into the red amid a selloff in technology stocks after the Nasdaq index hit an all-time high of 19,980.

Bitcoin is trading flat on the day, while Ethereum dropped 0.6%. Solana slipped 2.5%.

BTC Price chart
BTC Price

Meanwhile, blockchain analytics firm Arkham reports that the German government has been offloading BTC, with just under $200 million sold so far.

MicroStrategy's purchase amounted to $786 million. According to a Thursday filing, the company acquired the BTC at an average price of $65,883 between April 27 and June 19. This brings MicroStrategy's total Bitcoin holdings to 226,331 BTC.

According to founder Michael Saylor, these holdings were accumulated at an average price of $36,798 per Bitcoin, which totals $8.33 billion.

Memecoins Dogecoin, Shiba Inu, and Pepe posted losses of between 1% and 4% over the past 24 hours.

According to data from CryptoQuant, the dominance ratio of meme coins compared to altcoins has decreased, dropping sharply from 0.060 to below 0.045 on Friday.

“CT would be shifting from gambling to focusing on fundamentals, similar to a few years ago,” CryptoQuant CEO Ki Young Ju said. “Pack it up lads, it’s over.”

In other BTC news, the VanEck Bitcoin ETF has commenced trading on the Australian Securities Exchange (ASX).

Over 43,599 traders were liquidated in the last 24 hours, resulting in total liquidations of $111 million, according to CoinGlass. The largest single liquidation order occurred on Bybit with a BTC-USD value of $8.09 million.

Michael van de Poppe, CEO of MN Trading, believes that Bitcoin has likely bottomed in this area between $63,000 and $65,000.

“As a result, altcoins start to show more strength, as the Bitcoin dominance is going down,” he said. “The reversal is on the horizon."

U.S. stock markets dropped on Wednesday, driven by tech sector losses. The S&P 500 index dipped 0.3%, while the Nasdaq Composite slumped by 0.8%. Notably, the Dow Jones Industrial Average is up 0.4%, according to Yahoo Finance.