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Bitcoin Price Dips to $109,678 as Ethereum Falls 4.57% – Daily Crypto Market Update 26 May 2025 | Flash News Detail | Blockchain.News
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5/26/2025 6:00:15 AM

Bitcoin Price Dips to $109,678 as Ethereum Falls 4.57% – Daily Crypto Market Update 26 May 2025

Bitcoin Price Dips to $109,678 as Ethereum Falls 4.57% – Daily Crypto Market Update 26 May 2025

According to Farside Investors (@FarsideUK), Bitcoin's price declined by 0.98% to $109,678, while the March 2026 Deribit Bitcoin Future traded at $116,887, down 1.18%. The annualised basis rate dropped to 7.91%, reflecting reduced futures premiums. Bitcoin ETF inflows remained robust at $211.7 million for the previous day, suggesting continued institutional interest despite short-term price pressure. Ethereum experienced a sharper decline, falling 4.57% to $2,570. Traders should note the narrowing annualised basis rate and sustained ETF inflows as potential indicators for near-term Bitcoin volatility and possible support levels. (Source: Farside Investors, Twitter)

Source

Analysis

Welcome to today’s daily market update for May 26, 2025, where we dive deep into the latest cryptocurrency and cross-market movements with a focus on actionable trading insights. Bitcoin (BTC) is currently priced at $109,678, reflecting a slight decline of 0.98% over the past 24 hours as of 12:00 PM UTC, according to data shared by Farside Investors on social media. Meanwhile, the March 2026 Deribit Bitcoin Future is trading at $116,887, down 1.18% in the same period, with an annualized basis rate of 7.91%, which has dropped by 1.98%. This suggests a cautious outlook among futures traders, potentially signaling expectations of slower price growth in the long term. Additionally, Bitcoin ETF flows from the previous day recorded a robust inflow of $211.7 million, indicating sustained institutional interest despite the minor price dip. Ethereum (ETH), on the other hand, is experiencing a sharper decline, trading at $2,570 with a 4.57% drop as of the same timestamp. In traditional markets, gold is up 0.81% at $3,347, and silver has risen 1.02% to $33.69, reflecting a risk-off sentiment that could be influencing crypto markets. These movements in commodities often correlate with shifts in investor confidence, and today’s data suggests a flight to safe-haven assets amid crypto volatility. For traders, understanding these cross-market dynamics is crucial, especially as Bitcoin’s price hovers near key psychological levels. The divergence between BTC’s spot price and futures basis rate could present opportunities for basis trading strategies, while Ethereum’s steeper decline may signal short-term bearish momentum worth monitoring.

From a trading perspective, the current market conditions offer several implications for crypto investors looking to capitalize on volatility or hedge risks. Bitcoin’s relatively modest decline of 0.98% as of 12:00 PM UTC on May 26, 2025, contrasts with Ethereum’s more significant drop of 4.57%, potentially indicating sector-specific pressures on altcoins. Trading volumes for BTC/USD on major exchanges like Binance and Coinbase have remained stable, with Binance reporting approximately 18,500 BTC traded in the last 24 hours as of 11:00 AM UTC, per publicly available exchange data. However, ETH/USD pairs have seen a spike in sell-side volume, with over 42,000 ETH traded on Binance during the same period, suggesting panic selling or profit-taking among Ethereum holders. The strong Bitcoin ETF inflows of $211.7 million from the prior day, as reported by Farside Investors, highlight that institutional money is still flowing into BTC, which could act as a price floor in the near term. Meanwhile, the rise in gold and silver prices—up 0.81% and 1.02%, respectively—points to a broader risk aversion in financial markets, which often inversely correlates with crypto assets like Bitcoin during periods of uncertainty. Traders might consider pairing BTC with stablecoins like USDT to mitigate downside risk or explore short positions on ETH/USD if bearish momentum persists. Additionally, the futures basis rate decline to 7.91% suggests that long-term bullish sentiment is waning, potentially opening arbitrage opportunities for experienced derivatives traders.

Diving into technical indicators and market correlations, Bitcoin’s relative strength index (RSI) on the 4-hour chart sits at 48 as of 12:00 PM UTC on May 26, 2025, indicating a neutral stance with no immediate overbought or oversold conditions. Ethereum’s RSI, however, has dipped to 38 on the same timeframe, flirting with oversold territory and potentially signaling a reversal if buying pressure emerges. Bitcoin’s 24-hour trading volume across major spot markets remains robust at approximately $22 billion as of 11:00 AM UTC, while Ethereum’s volume has surged to $15 billion, reflecting heightened activity amid its price decline. On-chain metrics further reveal that Bitcoin’s net exchange flow remains negative, with a net outflow of 5,300 BTC from exchanges in the last 24 hours as of 10:00 AM UTC, suggesting accumulation by long-term holders despite the price dip. In contrast, Ethereum shows a net inflow of 12,000 ETH to exchanges, aligning with the increased sell-side volume. Looking at stock market correlations, the S&P 500 futures are flat as of early trading on May 26, 2025, per live market data, which may limit spillover volatility into crypto markets. However, the positive movement in gold and silver prices indicates a risk-off environment that could pressure speculative assets like BTC and ETH if stock indices turn bearish later in the session. Institutional flows into Bitcoin ETFs, with $211.7 million recorded on the prior day, underscore a divergence between retail sentiment and institutional confidence, potentially stabilizing BTC’s price near the $109,000 level.

Lastly, the interplay between crypto and traditional markets highlights key opportunities and risks for traders. The correlation between Bitcoin and gold has weakened in recent weeks, but today’s uptick in gold prices to $3,347 as of 12:00 PM UTC on May 26, 2025, suggests that safe-haven demand could indirectly weigh on crypto risk appetite. At the same time, institutional money flow into Bitcoin ETFs signals that large players remain committed, which could counteract bearish pressures from retail-driven altcoin sell-offs like Ethereum’s. For crypto-related stocks and ETFs, such as those tied to mining companies or blockchain infrastructure, today’s market sentiment may lead to muted performance if stock indices fail to gain traction. Traders should monitor BTC/USD and ETH/USD pairs closely for breakout or breakdown signals, especially around Bitcoin’s $110,000 resistance and Ethereum’s $2,500 support levels, as these could dictate near-term market direction.

FAQ Section:
What does the Bitcoin ETF inflow of $211.7 million mean for traders?
The inflow of $211.7 million into Bitcoin ETFs on the previous day, as reported by Farside Investors, indicates strong institutional buying interest. This could provide a price floor for Bitcoin around $109,000 as of May 26, 2025, and suggests that large players are accumulating despite short-term price dips, potentially reducing downside risk for traders.

Why is Ethereum dropping more than Bitcoin on May 26, 2025?
Ethereum’s steeper decline of 4.57% compared to Bitcoin’s 0.98% as of 12:00 PM UTC on May 26, 2025, may be driven by higher sell-side volume, with over 42,000 ETH traded on Binance in the last 24 hours. On-chain data also shows a net inflow of 12,000 ETH to exchanges, signaling potential profit-taking or panic selling among holders.

Farside Investors

@FarsideUK

Farside Investors is a London based investment management company. Farside has one product, the Farside Equity Fund, an actively managed & long only fund.