WASHINGTON (dpa-AFX) - The massive surge witnessed in cryptocurrencies a day earlier amidst the euphoria of a breakthrough to end the U.S. government shutdown and an expected infusion of liquidity turned out to be short-lived.
Cryptocurrency market capitalization has declined more than a percent in the past 24 hours even as markets assessed the progress towards ending the federal government shutdown. Markets also analyzed the potential impact of a delayed end to the shutdown on the passing of comprehensive digital asset legislation.
Meanwhile, markets digested developments on the legislative front as the Senate Agriculture Committee published its draft crypto market structure bill. The discussion draft of the legislation provides new authority to the Commodity Futures Trading Commission to regulate digital commodities. This bipartisan proposal expands upon the CLARITY Act approved by the House of Representatives in July.
The discussion draft includes a clear definition of digital commodities and the establishment of a spot market digital commodity regulatory regime with the CFTC. It contains robust consumer protections including customer fund segregation requirements, conflict of interest safeguards, appropriate customer disclosure requirements, and prohibitions on certain affiliated trading.
The trading registration regime as per the document is designed to facilitate liquid and resilient regulated markets while protecting retail participants. Requirements for the CFTC and SEC to coordinate and collaborate on necessary inter-agency rulemakings are also laid down. A new funding stream for the CFTC to stand up a spot market regulatory regime as well as protections for self-custody and innovative technology form part of the document.
Amidst these developments, overall cryptocurrency market capitalization decreased 1.6 percent in the past 24 hours. 10 of the top 100 cryptocurrencies have rallied more than 1 percent during the past 24 hours whereas 70 are trading with overnight losses of more than a percent. The 24-hour trading volume has however increased more than 7 percent.
The positive sentiment reflected in the CMC Fear and Greed Index - a proprietary tool developed by CoinMarketCap to measure the prevailing sentiment in the cryptocurrency market - improved to 31 from 29 a day earlier but nevertheless remained in the fear territory.
While the Dollar Index which measures the dollar's strength against a basket of 6 currencies is trading close to the flatline, gold extended gains with an overnight surge of more than half a percent. Gold Futures for December settlement are currently trading at $4,147.67 per troy ounce, implying overnight gains of 0.62 percent. The yellow metal's rally is in sharp contrast with the overnight decline in the price of Bitcoin.
Bitcoin has declined 0.6 percent overnight to $105,352.44, around 17 percent below the all-time high of $126,198.07 recorded on October 7. The original cryptocurrency is holding on to gains of 1.2 percent over the past week and 12.8 percent on a year-to-date basis. The 24-hour trading ranged between $107,428.26 and $104,699.56.
Bitcoin-based Spot ETF products in the U.S. witnessed inflows of $1 million on Monday versus outflows of $558 million on Friday.
Ethereum erased 0.9 percent overnight to trade at $3,573.21. Gains till date in 2025 stand at 7.3 percent. Ether's current trading price is 28 percent below its all-time-high. The 24-hour trading ranged between $3,644.53 and $3,508.99.
Ethereum-based Spot ETF products witnessed nil flows on Monday as compared with outflows of $46 million a day earlier.
4th ranked XRP slipped 3 percent overnight dragging down its current trading price to $2.46.
5th ranked BNB declined 1.8 percent overnight resulting in price decreasing to $981.19.
The price of 6th ranked Solana decreased 2.3 percent overnight to $164.44. With losses of more than 13 percent, SOL is the highest-ranking cryptocurrency to trade with year-to-date losses.
Solana-based Spot ETF products witnessed inflows of $6.8 million on Monday as compared with inflows of $12.7 million a day earlier.
TRON ranked 8th overall however gained 1.5 percent overnight and is currently changing hands at $0.2985.
9th ranked Dogecoin lost 2.5 percent overnight and is currently changing hands at $0.1785. DOGE has lost more than 43 percent till date in 2025.
10th ranked Cardano declined 2.2 percent overnight to trade at $0.5827.
24th ranked Uniswap (UNI) topped overnight gains among the top 100 cryptocurrencies with a surge of more than 20 percent. 69th ranked Aerodrome Finance (AERO) also rallied close to 7 percent overnight.
32nd ranked Canton Network (CC) topped overnight losses among the top 100 cryptocurrencies with a decline of 27.7 percent. 17th ranked Zcash (ZEC) and 85th ranked Starknet (STRK) followed with overnight losses of more than 22 percent.
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