Crypto Markets Plunge Amid Weak Investor Confidence and Institutional Accumulation

Crypto markets have been struggling with bearish trends in recent times, and last week was no exception. According to Pluang, Bitcoin ended Q2 down by a significant 14%, while Ethereum plummeted by an even more drastic 26.6%. One of the key factors contributing to this downturn is the $4.51 billion in outflows from spot Bitcoin ETFs in June, which marks the worst performance since their launch in 2024.

Despite this bleak picture, there were some brief moments of optimism. Bitcoin managed to briefly surge above $60,000 due to rising futures interest, although funding rates indicate a crowded long market. Ethereum, on the other hand, showed strong signs of institutional accumulation, especially in futures, which could potentially signal a shift in market focus.

Investors are remaining cautious ahead of upcoming events that may influence crypto market direction in Q3 2026, including Federal Reserve minutes and AI sector developments. This uncertainty is likely to continue weighing on the markets, at least for now.