NFT Market Shows Signs of Recovery

Issue context

The crypto market is navigating a period of caution this Wednesday, July 29, 2026. The total market capitalization has declined by 2.84% over the past 24 hours, now standing at $2.3 trillion. Bitcoin (BTC) is trading around $63,274, down nearly 3%, while Ethereum (ETH) has fallen below $1,900, experiencing a 3.57% drop. This broad market weakness is underscored by the Fear & Greed Index, which currently sits at 29, indicating 'Fear'. Adding to the negative sentiment, Bitcoin Spot ETFs recorded a net outflow of $12 million. Despite the downturn in spot markets, funding rates for both BTC and ETH perpetual futures remain slightly positive, suggesting some long positioning in derivatives, though this has not translated into a spot price recovery. Altcoins are also broadly under pressure.

The current market weakness, coupled with ETF outflows and a high fear index, suggests heightened caution. Pay attention to the divergence between spot and derivatives markets; positive funding rates might indicate conviction in long positions, but it's currently insufficient to offset spot market selling pressure. Your risk management is crucial during such periods.