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Bitcoin Market Faces Continued Downtrend as Major Cryptocurrencies Decline
Explore the ongoing downtrend in the Bitcoin market as major cryptocurrencies experience significant declines. Stay updated on market trends, key factors influencing prices, and expert insights into the future of digital currencies.
Bitcoin Market Update: A Continued Downtrend
Bitcoin experienced a significant decline, falling below the $60,000 mark early on Sunday during U.S. trading hours. This drop marked the continuation of a market sell-off that has persisted for four consecutive days. As a result, bullish futures bets suffered a staggering loss of nearly $200 million within the past 24 hours.
According to CoinGecko data, BTC has decreased by 4% over the last 24 hours, reaching a three-week low of $59,400. In addition to Bitcoin, several major cryptocurrencies saw notable declines:
- Solana (SOL) and Dogecoin (DOGE) each plummeted by more than 9%.
- BNB Chain’s BNB, XRP, and Cardano (ADA) all fell by at least 6%.
- Toncoin (TON) managed to fare slightly better with a loss of just 1.8%.
Ether (ETH) also experienced a downturn, dropping below $2,900. This decline erased all previous gains made during its rise to $3,400 in July, following the approval of spot ETH exchange-traded funds (ETFs) for trading in the U.S. However, these products have seen a disappointing performance, recording net outflows on six out of the nine days since their launch. Data from SoSoValue indicates total net outflows reaching $510 million.
The broad-based CoinDesk 20 (CD20), an index that tracks the largest tokens while excluding stablecoins, suffered a decline of 5.73%. This overall market downturn has led to significant liquidations in the futures market, with bullish bets losing nearly $200 million according to CoinGlass data. Over 97,000 traders were liquidated in the past 24 hours due to the sudden market fluctuations. The losses were predominantly from ETH longs, which accounted for $55 million, followed closely by Bitcoin longs at $43 million.
Some traders had previously warned of a potential BTC drop to the $55,000 level, as reported on Friday. This caution comes amidst escalating geopolitical tensions in the Middle East and a general decrease in sentiment towards risk assets, particularly in the technology sector.