Crypto Markets Start the Week on a Downward Trend
Bitcoin Falls Below $100K Mark Causing Market Slide
Major Altcoins Experience Significant Drops
The cryptocurrency markets began the week in a negative zone as Bitcoin (BTC) saw a 2% drop after briefly surpassing the $100,000 level. This decline led to a downward trend across major cryptocurrencies, with XRP, Dogecoin (DOGE), and Solana’s SOL falling by as much as 5.5%. Other cryptocurrencies like BNB Chain’s BNB and Ether (ETH) also experienced a 2.5% decrease. Cardano’s ADA was hit the hardest with a 7% drop following the temporary compromise of the Cardano Foundation’s X account on Sunday.
Market Liquidations and Price Movements
Over $300 Million in Bullish Bets Liquidated
The market slide resulted in liquidations of over $300 million worth of long positions. The CoinDesk 20 (CD20), a widely followed index, dropped by 3.6%, while midcap cryptocurrencies plummeted by up to 10% according to Coingecko data. Interestingly, futures tracking smaller altcoins and meme tokens recorded higher losses than BTC or ETH futures, as per the data.
Market Analysis and Future Predictions
Bitcoin’s Inability to Sustain $100K Raises Concerns
The failure of Bitcoin to hold above the $100,000 mark has raised concerns about the sustainability of the current rally. Despite this, experts like FxPro’s chief market analyst Alex Kuptsikevich believe that Bitcoin’s current consolidation phase could be a healthy correction to shake off short-term overbought conditions. Kuptsikevich also suggests that the next potential upside momentum could push the price towards the $120,000 level.
Singapore-based QCP Capital anticipates the market to remain range-bound until 2025, highlighting a historical trend that ETH typically reaches new all-time highs in January of the post-halving year.
Overall, despite the recent market turbulence, analysts remain cautiously optimistic about the long-term prospects of cryptocurrencies, emphasizing the importance of market corrections and consolidation phases in achieving sustainable growth.
The information in the article is for informational purposes only. It does not constitute any investment advice. The author and CryptoBlockNews.com are not responsible for your profits or losses arising from your investments. Investment is ultimately based on many foundations such as knowledge, accumulation, experience, research and personal decisions.
