I just took a look at the recent cryptocurrency market, and the drop that happened over the weekend was indeed pretty intense. After the US-Iran negotiations broke down, the whole market was seeking safety. Mainstream coins like Bitcoin, Ethereum, and Solana were all falling across the board, and it really does feel like geopolitical factors are still having a pretty big impact on the crypto market.

That said, what’s interesting is that although the short-term volatility has been fierce, from the institutional side the fundamentals seem to be basically fine. I heard that Bitcoin spot ETFs recorded a significant amount of capital inflows last week, which suggests that major institutions aren’t panicking to buy the dip or cutting losses just because of this drop. Right now, Bitcoin is repeatedly testing the $75,000 to $76k area. If ETF funds keep coming in, this could be a good signal.

That said again, given that the crypto market is characterized by being driven by news in the short term and supported by fundamentals in the long run, you still have to look at the actual moves institutions make. As long as big money keeps remaining optimistic, this sell-off might just be a buying opportunity.