Crypto Markets Today: BTC Price Slips, XPL, ENA Slide as AI Spending Concerns Hit U.S. Equities

Cryptocurrency prices experienced a decline over the past 24 hours, with the CoinDesk 20 Index dropping 1.7%. Bitcoin fell 0.2% to just below $110,000, while ether also saw a loss of 1.3%. The downturn was triggered by a sell-off in U.S. equities after tech giants Meta and Microsoft announced increased projections for AI investments, raising overspending concerns. The altcoin market also struggled, evidenced by steep drops in several tokens including doublezero, plasma, and gate token, which fell between 15% and 21%. Despite these losses, some tokens like a privacy coin saw a significant increase of 5% on Friday. The market outlook for altcoins now hinges on whether ether can sustain its support level around $3,700, which has previously shown resilience. Market sentiment appears to be leaning towards bearishness amid a notable shift in options trading activity favoring puts over calls. In the derivatives market, Bitcoin's open interest slightly decreased, reflecting subdued demand but isolated bullish indicators persist.

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