This past weekend was a tumultuous one for the crypto market, particularly for Bitcoin. The leading cryptocurrency experienced a sharp decline, plunging to a ten-day low of under $65,000. This came after a period of bullish momentum that saw BTC reaching a new all-time high of $73,800 on Thursday. However, the euphoria was short-lived as the bears took control, pushing Bitcoin below $66,000 on Friday. The volatility continued over the weekend, with BTC briefly reclaiming the $70,000 level before sliding back to $68,000. The most recent dip has seen Bitcoin hitting a low of $64,500, marking a more than 5% decrease in value in just a day.
Altcoins Follow Suit
The selling pressure extended to alternative coins as well, with many of them recording significant losses. Ethereum, which had been on an upward trajectory, breached the $4,000 mark before sliding back to under $3,500 following a 7% drop. Other major altcoins such as Binance Coin, Solana, and Ripple also suffered losses. The situation was even worse for mid- and lower-cap altcoins, with names like Avalanche, Shiba Inu, Dogecoin, Polygon, and Polkadot seeing double-digit declines.
Total Market Cap Plunges
The collective downturn in the crypto market resulted in a massive loss of over $100 billion in total market capitalization in just a day. The overall market cap now stands at under $2.6 trillion, representing a staggering drop of more than $300 billion since Friday. This indicates that the market sentiment has turned bearish, with investors selling off their holdings in a panic.
The recent price action in the crypto market serves as a stark reminder of the inherent volatility and unpredictability of digital assets. While the bull runs can be exhilarating, they are often followed by sharp corrections that wipe out significant gains in a matter of days. As always, investors should exercise caution and conduct thorough research before diving into the world of cryptocurrencies.
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