Bank of Korea Hikes Benchmark Rate to 3%... US Ethereum ETF Marks 8th Straight Day of 'Net Buying'
Despite the Bank of Korea raising its benchmark rate to an annual 3.00%, funds continue to flow into the U.S. Ethereum ETF (Exchange Traded Fund) market for an eighth consecutive day. On the 27th, the Monetary Policy Committee voted to raise rates by 0.25 percentage points with six out of seven members in favor. While the median of the members' future rate outlook (dot plot) was suggested at 3.25%, Ethereum rose 1.25% to record $2,491.
Bitcoin traded at $78,776, down 0.24% from 24 hours prior. Under the same tightening variables, trends diverged by coin. While Ripple fell 2.24%, Solana rose 4.62%. Market share indicators followed suit. Bitcoin dominance slipped 0.18 percentage points to 59.64%, while Ethereum share rose 0.13 percentage points to 11.34%. The total market capitalization held at $2.6513 trillion, with a 24-hour trading volume of $79.2 billion.
Leverage contracted in the derivatives market. Trading volume fell 11.13% from the previous day to $721.7 billion, indicating that position reduction took precedence over increasing directional bets immediately following the rate hike. Of the $184.09 million liquidated in the last 24 hours, shorts accounted for 52.19%, with shorts also making up 63% of the $64.3 million in Ethereum liquidations.
Institutional capital flows remained unbroken. U.S. spot Bitcoin ETFs saw net inflows of $232.2 million, while spot Ethereum ETFs attracted $192.4 million. Both asset classes recorded net inflows for eight consecutive trading days. BlackRock’s ETHA saw a daily inflow of $116 million.
On-chain, idle funds remained on the sidelines. Stablecoin trading volume fell 12.41% to $81.3 billion, while DeFi market cap stood at $74.1 billion with a 1.50% increase in volume. A wallet that suffered losses from Ethereum short liquidations opened a new 2x long position worth 300,000 Aethena (ENA).
On the 27th, the market theme was the recalibration of macroeconomic variables.
