The crypto fear and greed index continued falling, reaching its neutral zone of 56, as most coins retreated.
Bitcoin moved to $68,000, much lower than this month’s high of $73,500. Similarly, Ethereum token fell to $2,400, while the total market cap of all cryptocurrencies dropped to $2.28 trillion.
Some of the worst-performing coins were Grass, Solana, Goat, and Sui, which have dropped by almost 10% in the past few months. In most periods, cryptocurrencies drop when the fear and greed index moves to the fear zone.
Trump odds fall
These coins have dropped as investors anticipate for the upcoming US general election, which could determine regulations in the coming years.
Most cryptocurrency investors favor a Donald Trump victory because he is one of them. He owns a crypto portfolio worth over $6 million and has pledged to become a crypto-friendly president. Polls show that the election is close in most swing states, making it more difficult to predict.
Polymarket, the biggest player in the prediction market, shows that Donald Trump has higher chance of winning the election, with a 55% chance. While this is a big number, it is also lower than last week’s high of 67%, meaning that his odds are falling.
Therefore, the ongoing crypto weakness is a sign that investors are afraid that Harris could win the election. This also explains why the Trump Media & Technology (DJT) stock has plummeted in the past few days. Similarly, Trump-themed coins like MAGA, TRUMP, and DJT have plunged by double-digits.
In addition to the US election, cryptocurrencies will react to the upcoming Federal Reserve interest rate decision, in which officials are expected to cut interest rates by 0.25% after it slashed them by 0.50% in the last meeting. In most periods, cryptocurrencies do well when the Fed is cutting rates.
Read more: Traders turn to this first-of-its-kind Meme Portfolio as markets falter ahead of US elections
Vantard coin offering is doing well
Not all cryptocurrencies are struggling. Vantard, a Vanguard-inspired project is firing on all cylinders as its token sale accelerates.
The project has already raised over $304,000 from investors, and could become the best-performing ICO of this year.
Vantard is doing well because of its promise to create a meme coin index fund. Historically, while most meme coins don’t have any utility, they have a…