Bitcoin records largest single-day drop in two weeks, falls over 7%

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After Bitcoin’s surge, Ethereum geared to hit the top league with dencun update. Should you invest? Just last Thursday, Bitcoin reached a record high of nearly $74,000, prompting some investors to take profits. This trend was further influenced by a series of US data releases indicating that the Federal Reserve might not reduce interest rates as drastically as previously anticipated this year.

Over the past week, Bitcoin has witnessed a drop of nearly 9%, marking its most substantial week-on-week decline since last September, while ether has experienced a 13% decrease following an upgrade to the underlying Ethereum network. Nonetheless, the broader crypto landscape hasn't displayed the same level of weakness. Alternative tokens, often referred to as 'altcoins', have attracted their own influx of investments.

According to Coingeecko, Solana network's SOL token surged by 19% in the past week, while Avalanche's AVAX coin experienced a 17% increase. "In light of bitcoin's recent all-time high and subsequent correction, we anticipate a period of market recalibration as investors seek equilibrium amidst unprecedented inflows into spot bitcoin ETFs," analysts at exchange, Bitfinex said in a note, was quoted as saying by Reuters. Also read: Bitcoin market cap surpasses Silver to take eighth spot in global asset rankings The unpredictability of monetary policy poses risks, with ongoing inflationary pressures dampening hopes for relaxed Fed policies.

Additionally, Japan recently concluded its unprecedented monetary stimulus program, eliminating the world's final negative interest rate, further adding to the uncertainty. Ever since their inception, ETFs have garnered a total net inflow of $12 billion. This surge in investor