- The crypto market recently experienced a dramatic downturn, with over $100 billion wiped off the total market capitalization.
- Bitcoin faced significant turbulence, hitting a monthly low of $64,000 amidst a wave of volatility.
- This sharp decline impacted nearly 190,000 traders, resonating through the altcoin market with substantial losses.
Massive sell-offs in the crypto market lead to significant downturns, sparking broader market repercussions and investor concerns.
Bitcoin Experiences Sharp Decline
In the past 24 hours, the cryptocurrency market faced a robust wave of selling pressure. Bitcoin’s price fell below $65,000, closely followed by substantial drops in Ethereum and various altcoins. After experiencing high volatility on Monday night, Bitcoin tumbled to a monthly low of $64,000, marking a 5% decrease on a weekly scale. This significant dip suggests a short-term bearish trend for Bitcoin, with overleveraged investors bearing substantial losses. Notably, more than 190,000 traders were affected by these market movements.
Substantial Liquidations Across Exchanges
During this volatile period, the total value of liquidated positions surpassed $480 million. The largest single liquidation order took place on Binance, involving $6.44 million in an ETH/USDC trade. Speculation around the Federal Reserve’s prolonged high-interest rate policy has triggered a mass exit from Bitcoin investments. Remarkably, Bitcoin investment funds recorded $620 million in outflows last week, with an additional $208 million withdrawn from nine spot Bitcoin ETFs in the U.S. on June 17.
Potential Downfall to $63,800 for Bitcoin
Prominent crypto analyst Rekt Capital pointed out Bitcoin’s struggle to surpass the $60,573 to $71,524 range. Each attempt to climb higher has been met with resistance, pushing the price deeper into this range. Bitcoin needs to break above $71,350 to enter a parabolic phase, but current market conditions do not support such a movement. Given Bitcoin’s weekly close below $67,200, this level is seen as a weak support, suggesting a potential drop to around $63,800.
Altcoins Follow Suit with Sharp Declines
The altcoin market mirrored Bitcoin’s downtrend, with significant price dips observed. While some altcoins have shown minor recoveries, SHIB and DOGE both experienced around 10% declines within the day. Other notable decreases include SOL, AVAX, LINK, ADA, and DOT, each dropping between 7-9%. Bitcoin’s performance distinctly influenced the altcoin market, leading to declines like Ethereum’s 4.39% fall, Solana’s 9.25%, and Dogecoin’s 9.74%. Meanwhile, Shiba Inu saw a sharper 12.12% drop, whereas XRP defied the trend with a minor gain of 0.33%.
Conclusion
Overall, the cryptocurrency market has entered a pronounced bearish phase, highlighted by Bitcoin’s critical fall below $65,000. The market’s future trajectory hinges significantly on Bitcoin’s movements and external factors such as the Federal Reserve’s interest rate policies. Stakeholders are advised to remain vigilant and closely monitor these developments. For timely updates, follow our official channels on Twitter, Facebook, Instagram, Telegram, and YouTube.
