Bitcoin has been on a rollercoaster ride in the past few days, with its price plummeting to $65,000, only to quickly recover to $70,000 before dropping again. The volatility in its price has caused over $200 million worth of liquidations from traders in the past 24 hours. Despite bouncing back slightly, Bitcoin is still down by 1.5% on the day. Its market capitalization has also slipped to $1.3 trillion, although it still maintains dominance over the altcoins at just over 51%.
While Bitcoin has been struggling, altcoins have been feeling the heat as well. NEAR, FIL, and FET are among the altcoins that have seen significant price declines. Solana has dropped by 3% to $143, while DOGE and SHIB have plummeted by almost 5%. AVAX, DOT, and ADA have also seen declines of around 2-4%. However, there are a few exceptions like TON and UNI, which have seen slight gains in their prices. Overall, the total crypto market cap has declined by about $50 billion overnight.
Market Uncertainty
The recent price movements in the crypto market can be attributed to growing anticipation and fear surrounding the US CPI numbers and the FOMC meeting. Bitcoin’s price has been particularly sensitive to these events, with sharp fluctuations in a short period. The bears seem to be in control at the moment, pushing the asset to a monthly low of $65,000. While some recovery has been seen, the market remains uncertain and volatile.
As the crypto market continues to navigate through choppy waters, investors and traders are advised to exercise caution. The recent volatility in prices serves as a reminder of the risks involved in trading cryptocurrencies. It is essential to stay informed about market developments and have a sound risk management strategy in place to weather the storm. Only time will tell if the market will stabilize or if more turbulence lies ahead.