The crypto market has faced sharp declines recently, with major players like Bitcoin and Ethereum experiencing notable losses.
Bitcoin dropped below $100,000, while Ethereum fell to $3,147, contributing to a 6% reduction in the total market cap, which now stands at $3.49 trillion. Broader financial market instability is seen as the driving force behind this downturn, impacting cryptocurrencies and traditional risky assets alike.
Bitwise CIO Matt Hougan addressed the situation, explaining that Bitcoin’s performance often mirrors traditional markets, particularly the S&P 500. Historical data shows Bitcoin tends to drop slightly more than the S&P 500 during market pullbacks but demonstrates remarkable recovery potential, with average gains of 189% within a year following major declines.
Meanwhile, stablecoin activity, especially with USDC, has increased, signaling cautious preparation from investors rather than active buying. Weak U.S. demand for Bitcoin, reflected in Coinbase Premium turning negative, underscores lingering hesitancy.
Analysts predict a prolonged consolidation phase for the market, though Hougan remains confident in Bitcoin’s long-term resilience, framing the current slump as a typical short-term fluctuation rather than a structural shift.
With Bitcoin hovering near $119,000, traders are weighing their next move carefully. The question dominating the market now is simple: Buy the dip or wait for a cleaner setup?
Bitcoin has officially reached the $116,000 milestone, a level previously forecasted by crypto services firm Matrixport using its proprietary seasonal modeling.
Interactive Brokers, one of the world’s largest online brokerage platforms, is exploring the possibility of issuing its own stablecoin, signaling a potential expansion into blockchain-driven financial infrastructure as U.S. crypto regulation begins to ease.
Trading volumes for BNB Coin (BNB) have doubled in the past 24 hours to $3.8 billion as the price rises by 7%. This favors a bullish BNB Coin price prediction at a point when the token just made a new all-time high. BNB is the second crypto in the top 5 to make a new […]